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ADVERTISING•WinstonFletcher
AFRICANHISTORY•JohnParkerandRichardRathbone
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AMERICANPOLITICALPARTIESANDELECTIONS•L.SandyMaisel
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DEMOCRACY•BernardCrick
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DESERTS•NickMiddleton
DESIGN•JohnHeskett
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DRUIDS•BarryCunliffe
THEEARTH•MartinRedfern
ECONOMICS•ParthaDasgupta
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EMPIRE•StephenHowe
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THEEUROPEANUNION•JohnPinderandSimonUsherwood
EVOLUTION•BrianandDeborahCharlesworth
EXISTENTIALISM•ThomasFlynn
FASCISM•KevinPassmore
FASHION•RebeccaArnold
FEMINISM•MargaretWalters
FILMMUSIC•KathrynKalinak
THEFIRSTWORLDWAR•MichaelHoward
FORENSICPSYCHOLOGY•DavidCanter
FORENSICSCIENCE•JimFraser
FOSSILS•KeithThomson
FOUCAULT•GaryGutting
FREESPEECH•NigelWarburton
FREEWILL•ThomasPink
FRENCHLITERATURE•JohnD.Lyons
THEFRENCHREVOLUTION•WilliamDoyle
FREUD•AnthonyStorr
FUNDAMENTALISM•MaliseRuthven
GALAXIES•JohnGribbin
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GAMETHEORY•KenBinmore
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GEOPOLITICS•KlausDodds
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GERMANPHILOSOPHY•AndrewBowie
GLOBALCATASTROPHES•BillMcGuire
GLOBALWARMING•MarkMaslin
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HINDUISM•KimKnott
HISTORY•JohnH.Arnold
THEHISTORYOFASTRONOMY•MichaelHoskin
THEHISTORYOFLIFE•MichaelBenton
THEHISTORYOFMEDICINE•WilliamBynum
THEHISTORYOFTIME•LeofrancHolford-Strevens
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HUMANEVOLUTION•BernardWood
HUMANRIGHTS•AndrewClapham
HUME•A.J.Ayer
IDEOLOGY•MichaelFreeden
INDIANPHILOSOPHY•SueHamilton
INFORMATION•LucianoFloridi
INNOVATION•MarkDodgsonandDavidGann
INTELLIGENCE•IanJ.Deary
INTERNATIONALMIGRATION•KhalidKoser
INTERNATIONALRELATIONS•PaulWilkinson
ISLAM•MaliseRuthven
ISLAMICHISTORY•AdamSilverstein
JOURNALISM•IanHargreaves
JUDAISM•NormanSolomon
JUNG•AnthonyStevens
KABBALAH•JosephDan
KAFKA•RitchieRobertson
KANT•RogerScruton
KEYNES•RobertSkidelsky
KIERKEGAARD•PatrickGardiner
THEKORAN•MichaelCook
LANDSCAPESANDCEOMORPHOLOGY•AndrewGoudieandHeather
Viles
LAW•RaymondWacks
THELAWSOFTHERMODYNAMICS•PeterAtkins
LEADERSHIP•KethGrint
LINCOLN•AllenC.Guelzo
LINGUISTICS•PeterMatthews
LITERARYTHEORY•JonathanCuller
LOCKE•JohnDunn
LOGIC•GrahamPriest
MACHIAVELLI•QuentinSkinner
MARTINLUTHER•ScottH.Hendrix
THEMARQUISDESADE•JohnPhillips
MARX•PeterSinger
MATHEMATICS•TimothyGowers
THEMEANINGOFLIFE•TerryEagleton
MEDICALETHICS•TonyHope
MEDIEVALBRITAIN•JohnGillinghamandRalphA.Griffiths
MEMORY•JonathanK.Foster
MICHAELFARADAY•FrankA.J.L.James
MODERNART•DavidCottington
MODERNCHINA•RanaMitter
MODERNIRELAND•SeniaPaseta
MODERNJAPAN•ChristopherGoto-Jones
MODERNISM•ChristopherButler
MOLECULES•PhilipBall
MORMONISM•RichardLymanBushman
MUSIC•NicholasCook
MYTH•RobertA.Segal
NATIONALISM•StevenGrosby
NELSONMANDELA•EllekeBoehmer
NEOLIBERALISM•ManfredStegerandRaviRoy
THENEWTESTAMENT•LukeTimothyJohnson
THENEWTESTAMENTASLITERATURE•KyleKeefer
NEWTON•RobertIliffe
NIETZSCHE•MichaelTanner
NINETEENTH-CENTURY BRITAIN • Christopher Harvie and H. C. G.
Matthew
THENORMANCONQUEST•GeorgeGarnett
NORTHERNIRELAND•MarcMulholland
NOTHING•FrankClose
NUCLEARWEAPONS•JosephM.Siracusa
THEOLDTESTAMENT•MichaelD.Coogan
PARTICLEPHYSICS•FrankClose
PAUL•E.P.Sanders
PENTECOSTALISM•WilliamK.Kay
PHILOSOPHY•EdwardCraig
PHILOSOPHYOFLAW•RaymondWacks
PHILOSOPHYOFSCIENCE•SamirOkasha
PHOTOGRAPHY•SteveEdwards
PLANETS•DavidA.Rothery
PLATO•JuliaAnnas
POLITICALPHILOSOPHY•DavidMiller
POLITICS•KennethMinogue
POSTCOLONIALISM•RobertYoung
POSTMODERNISM•ChristopherButler
POSTSTRUCTURALISM•CatherineBelsey
PREHISTORY•ChrisGosden
PRESOCRATICPHILOSOPHY•CatherineOsborne
PRIVACY•RaymondWacks
PROGRESSIVISM•WalterNugent
PSYCHIATRY•TomBurns
PSYCHOLOGY•GillianButlerandFredaMcManus
PURITANISM•FrancisJ.Bremer
THEQUAKERS•PinkDandelion
QUANTUMTHEORY•JohnPolkinghorne
RACISM•AliRattansi
THEREAGANREVOLUTION•GilTroy
THEREFORMATION•PeterMarshall
RELATIVITY•RussellStannard
RELIGIONINAMERICA•TimothyBeal
THERENAISSANCE•JerryBrotton
RENAISSANCEART•GeraldineA.Johnson
ROMANBRITAIN•PeterSalway
THEROMANEMPIRE•ChristopherKelly
ROMANTICISM•MichaelFerber
ROUSSEAU•RobertWokler
RUSSELL•A.C.Grayling
RUSSIANLITERATURE•CatrionaKelly
THERUSSIANREVOLUTION•S.A.Smith
SCHIZOPHRENIA•ChrisFrithandEveJohnstone
SCHOPENHAUER•ChristopherJanaway
SCIENCEANDRELIGION•ThomasDixon
SCOTLAND•RabHouston
SEXUALITY•VéroniqueMottier
SHAKESPEARE•GermaineGreer
SIKHISM•EleanorNesbitt
SOCIAL AND CULTURAL ANTHROPOLOGY • John Monaghan and
PeterJust
SOCIALISM•MichaelNewman
SOCIOLOGY•SteveBruce
SOCRATES•C.C.W.Taylor
THESOVIETUNION•StephenLovell
THESPANISHCIVILWAR•HelenGraham
SPANISHLITERATURE•JoLabanyi
SPINOZA•RogerScruton
STATISTICS•DavidJ.Hand
STUARTBRITAIN•JohnMorrill
SUPERCONDUCTIVITY•StephenBlundell
TERRORISM•CharlesTownshend
THEOLOGY•DavidF.Ford
THOMASAQUINAS•FergusKerr
TOCQUEVILLE•HarveyC.Mansfield
TRAGEDY•AdrianPoole
THETUDORS•JohnGuy
TWENTIETH-CENTURYBRITAIN•KennethO.Morgan
THEUNITEDNATIONS•JussiM.Hanhimäki
THEU.S.CONCRESS•DonaldA.Ritchie
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WITCHCRAFT•MalcolmGaskill
WITTGENSTEIN•A.C.Grayling
WORLDMUSIC•PhilipBohlman
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Advertising:AVeryShortIntroduction
ADVERTISING
AVeryShortIntroduction
Contents
Preface
Listofillustrations
1Whatdoesadvertisingdo?
2Howtheadvertisingindustryisstructured
3Advertisers:thepaymasters
4Themedia:blowingtheadvertisers’trumpets
5Thecreativeagencies:creatingnewcampaigns
6Themediaagencies:spendingtheclients’money
7Research,research,research
8Thegood,thebad,andtheugly
9Theroleofadvertisinginsociety
Furtherreading
Index
Preface
Advertising is riddled with myths and misunderstandings. It is simultaneously
believed to be both immensely powerful and immensely wasteful, to increase
economicprosperityandtobemorallyquestionable.Neitheritshistoricorigins
nor its modern operations are well understood. Many of these myths and
misunderstandings are almost as widespread within the advertising industry
itself something of a myth, as we shall see – as they are among the public at
large. This short book, written by someone with extensive knowledge of
advertisingfromtheinside,correctsandclarifiesthemisunderstandingsthatare
socommon.
Listofillustrations
1‘Giveblood’NHScampaignposter
Advertisement shown with the permission of NHS Blood and Transplant
unit
2Tesco
©TescoPhotographicUnit
3NewsoftheWorld,Coverpagefrom1948
©NewsoftheWorld,4April1948/nisyndication.com
4Romanadvertisementforbrothel
©S.Coyne/AncientArt&ArchitectureCollection
5SamuelJohnson
Rischgitz/GettyImages/istockphoto
6Google
©Google.com
7USFordEdseladvertisement
ImagecourtesyofTheAdvertisingArchives
8PGTipschimps
ImagecourtesyofTheAdvertisingArchives
9VictorianSchweppesadvertisement
ImagecourtesyofTheAdvertisingArchives
10Citybillboards
©GettyImages/AFP
11BillBernbach
©Bettmann/Corbis
12DDB’sVWLemoncampaign
ImagecourtesyofTheAdvertisingArchives
13CDP’sHeinekenposter
ImagecourtesyofTheAdvertisingArchives
14JamesVicary
©Time&LifePictures/GettyImages
15DrScott’s‘ElectricCigarettes’
ImagecourtesyofTheAdvertisingArchives
16Fostersbeeradvertisement
ImagecourtesyofTheAdvertisingArchives
Chapter1
Whatdoesadvertisingdo?
Whatisadvertising?
Like many other commonplace words – think of art, love, and justice, for
example–advertisingissurprisinglyhardtodefinewithprecision.First,thereis
thedifferencebetweenadvertisingandadvertisements:advertisingisaprocess,
advertisementsare the endresultof thatprocess,but thewordsare often used
interchangeably. Second, and perhaps more importantly, while the public uses
the word ‘advertising’ to cover all kinds of publicity, within the advertising
industrythewordisusedfairlyspecifically(thoughevenhere,confusionsarise).
InthisVeryShortIntroduction, I shallbeusing the industry definition.Within
the industry, advertising is just one type of marketing communication. Other
typesofmarketingcommunicationthatarenotnormallydefinedasadvertising
include: packaging; sales promotions (money-offs, two-for-ones, competitions,
andthelike);catalogues;shopwindowsandin-storepublicity;brandplacements
intelevisionprogrammesandfilms;commercialemails;brandnamesonclothes
and other goods; public relations (brand mentions in the media); commercial
websites and blogs; and telephone selling. All of these (and many others), are
marketing communications, and are often used to increase the sales of things.
But within the industry they are not defined as advertisements, nor as
advertising.Sowhatexactlyisanadvertisement?Thoughitisamiteblurredat
theedges,agoodworkingdefinitionis:
An advertisement is a paid-for communication intended to inform and/or
persuadeoneormorepeople.
Let’sexaminethekeywordsinthisdefinition.
First: paid-for’. An advertisement that is not paid-for is not, strictly, an
advertisementatall.Ifnocostwhatsoeverisinvolvedthenthecommunication
may be good publicity, and it may be persuasive, but it is not technically
advertising–unlessitisanadvertisementthathasdeliberatelybeengivenaway
free(perhapstoacharity,orsomethingsimilar).
Second:‘communication’.Everyadvertisementattemptstobridgeagapbetween
the sender and the receiver. This bridge is a communication. To buy a whole
pageinanewspaperandleaveitblankisnottoadvertise.Whetherinwordsor
pictures, or usually both, advertisements must communicate something to
whoeverseesorhearsthem.
Third: ‘intended’. As we shall see, particularly in Chapter 7, not all
advertisements‘work’inthesenseofachievingtheirintendedaims.Thefactthat
an advertisement does not achieve its aims does not detract from it being an
advertisement.Itistheintentionthatcounts.
Fourth: inform and/or persuade’. Many people, usually critics hostile to
advertising,havetriedtodrawadistinctionbetweeninformativeadvertisingand
persuasiveadvertising.Theformerisdeemedtobeacceptableanddesirable,the
latter to be less acceptable or even totally unacceptable. In reality the line
betweeninformationand persuasionisimpossible todraw.Alltheinformation
anadvertiserincludesinanadvertisementisintendedtobepersuasive(unlessit
istherebecauseitislegallynecessary).Butasthepersuasiveroleofadvertising
is contentious, it is betterto say that all advertisements aim to informand/or
persuade’. However, an advertisement that aimed to have no persuasive
influencewhatsoeverwould,again,hardlybeanadvertisement.
Finally: one or more people’. All advertisements are addressed to people.
Sometimestojustoneperson(‘Lollipop–be myValentineandIwillbeyours
forever. Muscleman’); sometimes to countless millions (‘L’Oreal. Because
You’re Worth It’). When the public thinks about advertising, it almost always
thinksaboutmassadvertising,inmassmedia–thetypeofadvertisingonwhich
wewillconcentrateinthisbook.Butsmall,classifiedadvertisementsareahuge
advertising sector, particularly in printed media and on the Internet, and must
never be forgotten. In Britain and many other countries, over 40% of the
advertising revenue of printed media comes from classifieds, though this
percentageisfallingsharplythroughouttheworld,astheInternetiswinninglots
ofclassifiedadvertisingawayfrommoretraditionalmedia.
It has been important to sort out this definition because many things that are
popularly considered to be advertisements will hardly be touched upon in this
book. The focus will be on mass consumer advertising in the major media
television,newspapersandmagazines,posters,radio,cinema, andtheInternet:
inotherwords,whatmostpeoplemeanbyadvertising,mostofthetime.
Whatdoesadvertisingdo?
Another apparently simple and boring question: surely everyone knows
advertisingsellsthings–thatisitspurpose,isn’tit?Butisitreallysosimple?
HowaboutMuscleman?WhatwashetryingtoselltoLollipop?Whencharities
advertise for funds, whataretheyselling?When the government advertises to
stop people smoking, or drinking and driving, orto give blood, what are they
selling? When the army, or the NHS, or any business, advertises to recruit
people,whataretheyselling?Ineverycase,theadvertisementsareintendedto
inform and/or persuade’, so they fall squarely within our definition. But are
theyreallysellingthings?
1.Whataretheyselling?
This leads to a fundamental feature of advertising which many people find
difficulttograsp.Advertisingisnotahomogeneousentity.(Thatiswhyitisso
hard to define with precision.) It covers a multitude of diverse types of
communication,withequallydiverseobjectives.Mostadvertisements,itistrue,
aimto sellgoodsand services.But notalldo. Andeven thosethatdo, aimto
achieve sales in a host of varying ways. Advertisements are like the bits and
piecesinakaleidoscope.Togethertheyappeartomakeaunifiedpattern–butin
realityeachoneofthemislikelytobequitedifferentfromtheothers.
Everyonewhoworksinadvertisinggetsusedtooutsidersasking:‘Whatmakes
anadvertisingcampaignsuccessful?Whatisthesecretofeffectiveadvertising?’
–orsomething verysimilar. The questionimpliesthere mustbesome kindof
‘Golden Key’, which advertisers can use to unlock the secret of producing
advertisingthatworks.
ButthereisnoGoldenKey–andthereisnosingleanswertothequestion‘What
makesanadvertisingcampaignsuccessful?’(Thoughthepeoplewhoaskitare
nearlyalwayskeentoprofferanansweroftheirown,whichiswhytheyaskthe
questioninthefirstplace.)
There could never be a Golden Key, because even campaigns that are
specificallyintendedtosellthingsdosoinamultitudeofdifferentways,witha
multitudeofdifferentimmediateobjectives.Herearetencommonones,usedby
differentadvertisersatdifferenttimesfordifferentproductsandbrands(wewill
lookclosely atthedifferencebetween a‘product’and a‘brand’inChapter3).
Thelistisnotcomprehensive,andcouldneverbe,asadvertisersareconstantly
inventingnewobjectives.However,acampaignmaybeintendedto:
•launchacompletelynewbrand;
•launchanewproductintoanexistingbrand–a‘lineextension’;
•promoteanimprovementtoanexistingbrand;
•makepeoplewhohavenotheardofabrandbecomeawareofit;
•persuadepeoplewhoknowofabrandbuthaven’ttriedittotryit;
•persuadeex-usersofabrandtotryitagain;
•persuadecurrentuserstouseitmoreoften;
•persuadecurrentuserstotryusingitindifferentways;
•persuadeadifferenttargetmarket–youngerorwealthierperhaps–touse
thebrand;
•persuaderetailerstostockthebrand,sopeoplecaneasilybuyit.
These varying objectives demand varied messages, and so demand an almost
infinitevarietyofadvertisingapproaches.
Many textbooks argue that it is vital to define the single objective of any
campaignwithprecision,andindetail,beforerunningacampaign.Advertising
thattriestobeallthingstoallpeople,theyargue,alwaysfails.
Well it is certainly essential to define the objectives of any campaign with
precision,andin detail– but acampaign maywellhave morethanone single
objective,aslongasthedifferentobjectivesareconsistentwitheachotherand
are in no way mutually contradictory. Indeed, recent research has shown that
most successful campaigns have, on average, approximately two-and-a-half
overlapping objectives, for example ‘To build awareness among affluent
prospective customersofan exclusive new brand which they willfindonly in
top-quality retailers’. (That particular objective includes no fewer than four
overlapping objectives – to build awareness/among affluent customers/of an
exclusive brand/only available in top-quality retailers – and all of them are
essentialtoachievethebrand’sentiregoal.)
Theadvertisingstrategy
The objectives of any campaign will be spelled out in a crucial document
generallycalledtheadvertisingstrategy.Thisisakeyblueprintinthecreation
of new campaigns, and we will return to it frequently throughout the book.
Differentadvertisersandtheiragenciesgiveitdifferentnames,butitspurposes
arealwaysthesame:todefinetheobjectivesoftheadvertisingcampaign,andto
ensureeveryoneinvolvedinproducingthecampaignknowsexactlywhatthese
are. This will ensure that they all (many of them highly paid creative people)
wastenotimedevelopingideasthatareirrelevantorarenotwhatisrequired.
To achieve these purposes, the advertising strategy will have a raft of
subheadings and boxes which must be completed before any work on the
campaign goes ahead. These subheadings/boxes will precisely define the
blueprint of the campaign. They will include the campaign’s objectives; facts
aboutthebrandthatshowtheobjectivestoberealistic;thebrand’scompetitors,
with details of their advertising and marketing campaigns; a summary of any
relevantmarketresearch–sayingwhyconsumersusethebrand,andwhythey
donot;themessagethecampaignmustcommunicate,andthetoneinwhichit
mustbecommunicated;whichmediaarelikelytobeusedforthecampaign;the
budgets available both for the preparation of the advertisements and for the
mediacampaign;atimescaleforboththepreparationoftheadvertisementsand
forthedurationofthemediacampaignwhenitruns;anyotherdetailsfelttobe
important to the campaign in question; and, particularly, the target market at
whichthecampaignwillaim.
Many of these important headings will be expanded upon in the chapters that
follow.Butbecauseofitscrucialimportance,letusstartwiththelastfirst:the
targetmarket.
Whatisatargetmarket?
Thetwomostimportantfactsaboutanadvertisingcampaignarethebranditself
–thatis,theproductorservicebeingadvertised–anditspotentialpurchasers,
itstargetmarket.Youmightthinktheformertobefarmoreimportantthanthe
latter, and this would undoubtedly have been the view in years gone by. But
today the two are seen to be symbiotic: the brand and its target market are
inextricablyentwined.
Howcome?Therearethreefactorsinvolved.First,theever-burgeoningdiversity
ofproductsandservicesineveryfieldmeansthateventhelargest,mostpopular
brands are used only by minority segments of the population. Even a massive
supermarket chain like Tesco is used regularly by only about one-third of the
Britishpopulation.Soadvertisersneedtofindouteverythingtheypossiblycan
abouttheexactsegmentofthepopulationtheyaretargeting.Second,thegrowth
ofmarketresearchallowsadvertiserstoknowwhotheirpotentialcustomersare
withmuchgreaterprecisionthanusedtobethecase.Andthird,mediaaudiences
arethemselvesnowsosegmenteditisessentialtospecifythetargetmarketin
ordertoadvertiseinthemediawhichwillreachthemmostcost-effectively.The
dayswhenoneadvertisementinasinglenewspaperliketheNewsoftheWorld
(in1948,theNewsoftheWorldreachedaworld-recordsaleof8,000,000copies
weekly), or on a single channel like ITV, could reach more than 50% of the
Britishpopulationarelonggone.(Today,evenwithmassmedialiketelevision,
differenttypesofpeoplewatchdifferentchannels,differentprogrammes,andat
differenttimesofday:thereisnopointinadvertisingtobusybusinesspeople,
onachanneltheydonotwatch,inthemiddleoftheafternoon,forexample.)
2.EvenamassiveretailchainlikeTescoisusedregularlybyonlyabout
one-thirdoftheBritishpopulation
The outcome of these threefactorshasbeenthatproducts and services are no
longerdesignedandformulatedfor100%ofthepopulation.Theyaredesigned
forspecifictargetmarkets: clearlydefined population sectors,largeand small.
Thisisthebasisofthesymbiosisbetweenthebrandanditstargetmarket.
3.In1948,theNewsoftheWorldreachedaworldrecordsaleof
8,000,000copiesweekly
Toanalyseandunderstandtheirtargetmarkets,allmajoradvertisersnowadays
carryoutconsiderablemarketresearch,honedtotheirownparticularneeds.But
there are also sizable syndicated surveys available, which are continuous, and
whichanyonecanobtainundercontract.Ofthese,probablythemostimportant
istheTargetGroupIndex(TGI).TGIwaslaunchedinBritainin1969,butitis
now a global research operation run in over 50 countries by Kantar Market
Research, a subsidiary of WPP, one of the world’s largest marketing services
conglomerates.
TGItodaycarriesoutover700,000annualinterviewsinthecountrieswhereit
operates,anditidentifiesthedetaileddemographicprofilesoftheusersofover
4,000 brands in more than 500 product fields. It will identify their age, class,
sex, marital status, working status, education, regional habitation, media
consumption,andsocialactivities.ButTGIgoesmuchfurther.Itanalyseseach
brand’sfrequencyofuse:doitsconsumersusethebrandoften(‘heavyusers’)or
infrequently(‘lightusers’)?Itanalysesconsumers’opinionsandattitudesto250
questions covering health, holidays, finance, the environment, and many other
subjects, correlating this invaluable psychographic and personality data with
brandusage.TGIcollectsandprovidesallthisdatabecauseitknowsittobethe
information advertisers, media, and agencies (its own target markets) will
requireinordertolearnasmuchaspossibleabouttheirtargetmarkets.
TheTGIdatahelpsadvertisersandtheiragenciesidentifythoseconsumerswho
arepotentiallythemostlikelysourcesofsales:thetargetmarket.Butitwillalso
revealthetargetmarket’sattitudestothebrand.Whatdoconsumerswantfrom
the brand, and what do they not want? This again reflects the symbiotic
relationship between the brand and its target market. The brand only exists to
provide its target market with what it wants. So let us now explore what
consumerswantfromtheirbrands.
Whatdocustomerswantfromtheirbrands?Factsor
images?
Yet another seemingly simple and silly question, you may feel! Surely people
justwantthethingstheybuytodowhattheysaytheyaregoingtodo,efficiently
andreliably:tobe‘fitforpurpose’,asconsumerprotectionlawsstate.
Not quite. Another effect of the symbiosis between brands and their target
markets has been a shift of emphasis away from product formulations, and
towards end-benefits. Put simply, people do not buy drills because they want
drills, they buy drills because they want holes. Unless you are a metallurgist,
whenyoubuyadrillitsmetallicspecificationwillbeunimportanttoyou.You
don’t care about its metallic specification – you just need some holes. It is
astonishinghowoftenpolicymakersfailtograspthisvitalfact.Takealookata
petfoodpack,forexample.Petfoodmanufacturersarelegallyrequiredtopublish
exact ingredient specifications on their packs – though pet owners care only
about the end-benefits: that their pets will enjoy the petfood and will stay
healthy.Thedetailedspecificationsmeannothingtothem.
And because human beings (and pets) vary, the end-benefits which different
groups of people require from similar products inevitably vary too. So the
different groups comprise different target markets. And advertising campaigns
will need to promote the differing end-benefits that each of the targetmarkets
requires.
Naturally advertisers have always appreciated that different people want
differentthings,andthatpeoplebuygoodsforthebenefitstheyprovide.Butif
you lookatanybook of 19th-century advertisements – tryLeonarddeVries’s
excellentVictorianAdvertisements, for example – you will quickly see that in
thosedaysalmostalladvertisementsconcentratedontheproductitselfandhow
it functioned. Today most advertising campaigns concentrate on end-benefits.
Product ingredients and formulations will only be mentioned to back up and
justifytheend-benefitstheproductprovides.
And–especiallyinanaffluentsociety–thebenefitsthatconsumerswantfrom
products are not only factual and functional. Consumers want and expect
psychologicalandemotional,aswellasfunctional,end-benefitsfromthegoods
theybuy.Yes,theywantthemtofunctionproperly,tobe‘fitforpurpose’,that
goeswithoutsaying.Buttheyalsowanttheirpurchasestomakethemfeelgood,
inanynumberofways.Inadvertisingterms,theywantthebrandimagetobe
rightforthem.Thebrandimageisthehalooffeelingsandemotionsthatbrands
inspire.Consumersmaywanttheimageofabrandtheybuytomakethemfeel
moreglamorous,or younger,orcleverer, orin-the-know.Theymaywanttheir
brand’simagetomakethemfeelmoremasculine,orfeminine,ormorehealthy,
or a more sensible shopper, or a better parent, or more ecologically
conscientious. And these brand image benefits will be crucial to their buying
choices.
Sotheadvertisingcampaignmusttakeaccountofsuchemotivebenefits–and,
onceagain,thesewillvaryfordifferenttargetmarkets.Theadvertisingstrategy
willdefinewhatthetargetmarket’semotiverequirementsare.Andnowadays,in
manyproductfields,itiscustomers’psychologicalandemotiveneeds,asmuch
astheirfunctionalneeds,whichabrandanditsadvertisingmustcaterfor.There
isclearresearchevidencethat‘emotional’advertisementsare,onaverage,more
effectivethanunembellishedfactualadvertisements.Thisisparticularlytruein
those markets – unlike drills – where brand imagery is crucial to consumers,
marketsasdiverseasautomobiles,airlines,andalcohol;clothes,cosmetics,and
carbonateddrinks.
Noneofthisisasnewascriticsofmodernadvertisingcontend.Itisclearthat
sinceearliesthistory,humanbeingshavebeenwellawareoftheimagery–‘the
emotional baggage’ – of the products and clothes they own and display. But
equally, none of this is a charter to produce emotional advertisements that
disregard the product itself. It is absolutely vital for a brand’s image to be
consistent with its functional benefits, and vice versa. Cynics contend that a
cleveradvertisingcampaign canmakethe publicthinkwhatevertheadvertiser
wants them to think about a brand. Not so. No matter how clever it is,
advertisingcannotmakeconsumersthinkaweakbeerisstrong,orasweetwine
isdry– orablunt drillwill make goodholes. Clever(butfoolish) advertising
may persuade consumers to buy the product once, but they will then quickly
discover theyhavebeencheated. The functional and the imagebenefitsthat a
brandoffers,whichtheadvertisingmustaimtocommunicate,mustinterlockas
tightlyaspiecesinawoodenjigsaw.Ifthepiecesdonotfittogetherperfectly,
consumerswillfindthebrandconfusing,thereforeunacceptable,andultimately
self-defeating.Itwouldbeakintoanineffectualleaderpuffinghimselfuplikea
greatemperorandthenfailingtowinabattle.
Finallyinthissection,itisessentialtokeepinmindthediversityofadvertisers
and advertising, already emphasized. Most of the above, for simplicity’s sake,
hasrelatedtotheadvertisingofproducts:goodsratherthanservices.Butinmost
affluent countries, services today account for a major percentage of the gross
nationalproduct.Indeed,thevalueoftheservicesectorisnowoftenlargerthan
thatoftheproductsector.InBritain,forexample,theservicesectoraccountsfor
some two-thirds of the economy: retailers, entertainment, financial services,
travel,andtourismarehugesectors,andhugeadvertisers(seetableonpage33).
Everything written about goods in the paragraphs above applies equally to
services. It is just as important to define the service’s target market (and TGI
covers all major services, as well as products); to define the end-benefits the
service offers; to blend factual benefits with emotional benefits; and to
communicatethedesiredbrandimage.Thesymbiosisbetweenbrandandtarget
marketisfundamentalinallmodernadvertising,whateverisbeingadvertised.
Howareallthesedecisionstaken?
Thebriefandtruthfulansweris:withgreatdifficulty.
JohnHobson,oneofthemostthoughtfulandanalyticalBritishadvertisingmen
of the 20th century, who founded one of the era’s most successful advertising
agenciesin1955,said:
In advertising there are always dozens of ways of doing any job. We
considerthemallandthentestandtestandtestuntilwegettherightone.
Butinthedecadessince1955,myriadsofcampaignshavebeentried–andsome
didthebusiness,whileotherswerefoundlacking.Atthesametime,advertisers
havecarriedoutliterallycountlessmarketresearchstudies.Thisallmeansthat
the‘dozensofwaysofdoinganyjob’canusuallybewhittleddowninadvance,
ifalltherelevantinformationiscarefullystudiedandanalysed.Todaytheprime
responsibilityforstudyingandanalysingthisinformationfallstopeoplewhoare
calledaccountplanners.
Though account planning is now practised globally, it did not come into
existenceuntilaround1970,whentwoLondonadvertisingagenciesdevelopedit
almost simultaneously. The two agencies were J Walter Thomson London, the
UK subsidiary of the giant JWT American agency, now owned by the WPP
conglomerate; and a then infant British agency called Boase Massimi Pollitt,
founded in May 1968. The name ‘account planning’ came from J Walter
Thomson London, and the two agencies developed the system in slightly
differentways.Otheragencieshavesincemadetheirownsmalladjustments,but
thefundamentalsofthesystemareuniversal.
The account planningsystemdemandsthatan account planner – an analytical
researcher–isassignedbytheadvertisingagencytoeveryclient.Theaccount
plannerisnotabackroomboffin,asresearchersinadvertisingagenciesusedto
be,butpersonallyrepresentstheagencytoitsclientsatmeetings,upfront.The
account planner will analyse all the available data about the brand to be
advertised: sales trends, past research, past campaign results, competitors’
activity,consumers’attitudes–everythingmentionedaboveinconnectionwith
theadvertisingstrategyblueprint.Havinganalysedallthedata,accountplanners
arethenresponsiblefordevelopinganddraftingthedetailedadvertisingstrategy:
whataretheaimsandtargetsoftheadvertising,howwillitachievethem?Allof
thiswillneedtobeagreedbytheplannerscolleaguesintheagency,andthenby
theclient.
With the abundance of data now available, transmuting it all into an effective
advertisingstrategyisnoteasy.Theaccountplannerneedstobehighlycomputer
literateandneedsskill,experience,andinsighttostudymassesofresearchand
sales information, boil it all down to a fewkey conclusions, and deduce from
these exactly what the advertising campaign must communicate, and to which
targetmarket. Simplistic,clichéd conclusionsandobjectivesareuseless.Ifthe
account planner can say nothing more than that the brand is better than its
competitors,andthecampaignmustpersuadethepublicofthisfact,theresulting
advertisingcampaignis likely to be blandtothe point of tedium.Theplanner
must be much sharper and go far deeper. What are the brand’s real functional
andemotionalstrengthsandweaknesses;inwhichrespectsisthebrandbetter(or
worse) than its competitors? How can all this be persuasively communicated?
Whichtargetmarket,ortargetmarkets,mustbepersuaded?Whicharguments
both rational and emotional – should be deployed to persuade them? Talented
account planners will put flesh on the bare bones of the data, and make the
advertisingstrategyinspiringandexcitingtothosewhowillhavetoputitinto
effect.(Unsurprisingly,thebestaccountplannersarenowadayshighlyrewarded
–andincidentally,ahighpercentageofthemarefemale.)Onlyatthispointwill
theagency’screativeteamsandthemediaspecialistsgototheirstartingblocks
andpreparetogetthecampaignmoving.
Thenextpartoftheaccountplannerstaskisstillmoredifficult.Oncethedraft
advertisingstrategyhasbeenagreed,andputintoaction,itwillbetheaccount
planners responsibility to ensure that the resulting campaign meets the
strategy’s stated objectives. However, we would be jumping too far ahead of
ourselvestodealwiththisprocessnow:wewillseehowitworksinChapter7.
First, we must ourselves now do some basic investigation, into the history of
advertising, to show how and why it has developed in the ways it has. It is a
complexandunusualindustrywithmanyseparateparts,andtounderstandhow
advertisingworksitisessentialtodisentanglewhyitissosplitup,andtodefine
whattheseparatepartsdo.
Chapter2
Howtheadvertisingindustryisstructured
Lookbackinwonder
Like most people, you probably believe advertising is a relatively modern
phenomenon – perhaps a century or two old – and that it was invented in
America.Botharetwaddle.
Advertising shop signs existed some 6,000 years ago, and were common in
Romeandthroughouttheancientworld.ButitwastheclassicalAthenianswho
canprobablylayclaimtotheinventionofcommercialadvertisingasweknowit
today. In Athens, town criers, chosen for their mellifluous voices and clear
elocution, strolled through the streets making public proclamations, and
interrupted their proclamations with paid-for advertisements (just as
advertisements interrupt television newscasts today). Aesclyptoe, an early
Atheniancosmetician,usedtowncrierstopromotehislotionsandpotionswith
consummateprofessionalism:
Foreyesthatareshining,forcheekslikethedawn,
Forbeautythatlastsaftergirlhoodhasgone,
Forpricesinreasonthewomenwhoknow
NowbuytheircosmeticsfromAesclyptoe.
This‘jingle’–itwasprobablysung–couldhavesprungyesterdayfromahighly
paidLondonorNewYorkcopywriterslaptop.
4.ARomanadvertisementforabrothel
Following the Athenians, advertising burgeoned in Rome, Herculaneum, and
Pompeii,whereprostitutes’adscanstillbeseencarvedintothestoneworkofthe
once buried city. Thus was one of the world’s oldest professions linked with
anotheroftheworld’soldestprofessionsfromthestart.
Duringthe‘darkages’afterthefalloftheRomanEmpire,advertisingappearsto
have disappeared. Then it reappeared, in Britain and France during the 13th
century,againbeingsungbytowncriers.Printedadvertisingfollowedhardupon
Gutenberg’sinventionoftheprintingpressinGermanyinabout1450.Thefirst
known printed advertisement in English was published in 1477, printed by
WilliamCaxton,whohadbroughtprintingtoBritainafewyearsearlier.Bythe
start of the 17th century, advertising was already so commonthat in 1712 the
British government introduced a tax of one shilling (a sizable sum) on every
advertisement published in a newspaper. But this tax did little to restrain
advertising’sgrowth.In1759,thegreatlexicographerDrSamuelJohnsonwrote:
‘Advertisements are now so numerous they are very negligently perused.’ An
opinion many people express to this day, without realizing its centuries-old
ancestry.
The government’s 1712 tax was not repealed until 1853, by which time just
undertwomillionnewspaperadvertisementswerebeingtaxedannually.Atthe
same time, a vast number of advertisements were appearing in ‘illegal’
publications,whichwerenotregisteredforthetax,pluslegalandillegalposters
and billboards, and handbills which were pushed into people’s fingers as they
walkedaboutthestreets,alongwithagalaxyofinventedadvertisingideas,many
of them entertainingly eccentric (one company devised a way to shoot
advertisementsintopeople’sgardenswithagun).Unsurprisingly,peoplebegan
complaining,astheyhave complained ever since, that therewasfartoo much
advertising,andthatsomethingneededtobedoneaboutit.Littlewas.
5.In1759,DrSamuelJohnsonwrote‘Advertisementsarenowso
numeroustheyareverynegligentlyperused.’
Initially advertisements were entirely text, without illustration, and were
generallywrittenbythemerchanthimself.But bytheendofthe18thcentury,
specialistsin advertisementwritingbegantoappear, asdid illustrations.These
wereproducedbypeoplecallingthemselves‘advertisingagents’,because they
notonlywroteandillustratedtheadvertisements,theyalsoactedassalesagents
for themedia, selling advertising spaceto the merchants. Almostcertainlythe
firstadvertisingagentinBritain–andintheworld–wasWilliamTaylor,whoso
described himself in an advertisement for his services in 1786. (It is often
claimedthattheAmericanVolneyB.Palmersetupthefirstadvertisingagency
in1842inPhiladelphia,butTaylorpredatedhiminLondonbymorethanhalfa
century.)AndthegreatessayistCharlesLambwasanearlyfreelancecopywriter,
raking in a little extra cash by writing advertisements for his friend, the
advertisingagentJamesWhite,duringtheearly1800s.
The basic three-part structure of the advertising industry in Britain – later to
spread throughout the world – was thus established: advertisers, who bought
space for their advertisements; media, who sold the space; and agencies, who
were middlemen – selling space on behalf of the media, and creating
advertisementsfortheadvertisers.
Theadvertisingtripartite
‘Theadvertisingindustrydoesnotexist’,myfirstbossusedtoquip.Hewasnot,
asyoumaybethinking,sayingthatadvertisingpeoplearenotindustrious:asin
allindustries, someare andsome arenot. Hewas sayingthat thereis nosuch
entityastheadvertisingindustry.Whatpeoplecalltheadvertisingindustryisan
amorphous patchwork of different companies and specializations, broadly
divisibleintoits threebasicsectors–usuallycalledthe‘advertising tripartite’.
Thoughotherwaysoforganizingadvertisinghavebeentriedovertheyears,the
‘advertising tripartite’ structure is now the basis of advertising industries
throughouttheworld, andmaybe assumed tobe the bestand most functional
waytoorganizethecreationandproductionofadvertisingcampaigns.
As in the 19th century, the three legs of the advertising tripartite are the
advertisers,themedia,andtheadvertisingagencies.Letusconsidereachinturn.
First, the advertisers: retailers, manufacturers, finance companies, charities,
governments,lovingsuitorslikeMuscleman,andcountlessothers.Theypayfor
all the advertising, but advertising is not their principal activity. For them,
advertisingisameanstoanend. Itis,aswesaw earlier, oneofthenumerous
means of marketing communication. For many, it will be theirmainmeansof
marketing communication, on which they spend considerable sums of money.
These will generally be advertisers selling high-volume famous brands to the
general public: brands like Coca-Cola, Sony, L’Oreal, Toyota, Tesco, British
Airways, and tens of thousands more. Because their target markets are large,
they will use mass media to reach them, and advertising in mass media is
expensive.Butforotheradvertisers,advertisingwillbeafarsmallercomponent
in their marketing communications mix. These will generally be advertisers
addressing relatively small, tightly defined target markets. Advertisers in this
group will include businesses selling to other businesses rather than to the
public; or selling to hobbyists who read specialist hobby magazines and visit
specialistwebsites;orsellingtopeoplefromanarrowdemographicsectorlike
theveryold,ortheveryrich,orownersofunusualpets;orsellingtoresidentsin
aparticularlocality,inwhichtheadvertisertrades.
Bigorsmall,advertisersarethedrivingforceoftheadvertisingindustry.They
arethepaymasters,theycallthetunes,andtheywanttoseeresults.Yetalmost
nobody who works for an advertiser thinks of themselves as working ‘in
advertising’.Theywork,say,incarbonateddrinks(Coca-Cola),orinconsumer
electronics(Sony),orintoiletriesandcosmetics(L’Oreal),orintheautomobile
industry(Toyota),orinretailing(Tesco),orintravel(BritishAirways).Within
each of those large organizations, there will be people who work full-time, or
almostfull-time,ontheircompany’sadvertising.Butinafewmonthsoryears
these people may well be moved to another department within the company.
Advertisingis,perhapstemporarily,akeypartoftheirprofessionalism,butitis
not their profession. They do not think of themselves as being part of ‘the
advertisingindustry’.
Thesameislargelytrueofthesecondlegoftheadvertisingtripartite,themedia.
The media – in particular, television, print, posters, radio, cinema, and the
Internet – carry and publish advertisements in return for advertisers’ money.
Today the media receive approximately 90% of all the money the advertisers
spend. In the past, the media received 85%, and the remaining 15% went to
advertising agencies as a fixed-rate commission. Nowadays, that fixed-rate
commission system is virtually obsolete. The exact percentages the media
receive,andthe agenciesgetpaid,aresubjecttonegotiation–butonaverage,
agenciesgetabout10%,ratherthan15%,ofthetotal,andthemediareceivethe
rest.
Television, radio, cinema, and posters carry, almost exclusively, display
advertising.PrintmediaandtheInternetcarryamixtureofdisplayandclassified
advertising.Thisisanimportantdistinction. First,becauseapproximately40%
ofprintmedia’sadvertisingrevenuecomesfromclassifieds(thoughmuchofthis
is migrating to the Internet, a key medium for classified advertising). But
second, and more importantly, grasping the different ways in which classified
and display advertisements work is crucial to an understanding of how
advertising works. Put simply, there are advertisements which people look for
(classifieds), and advertisements which look for people (display). Display
advertisementsarenecessarilyintrusive,becausetheymustcatchtheattentionof
peoplenotinitiallyinterestedintheirmessages;classifiedadvertisementsarenot
intrusive, because they rely on people perusing them for items they are
consciouslysearchingfor.
Television, radio, posters, and cinema are, by their very nature as media,
unsuitable for classified advertising (though ‘Teletext’ is a subcategory of
classified).Thispartlyexplainswhythearrivaloftelevisioninthe1950sdidnot
decimate print media in the way many people had predicted: the print media
werebuoyedupbytherevenuefromtheirclassifieds.Equally,itisbecausethe
Internetissoespeciallygoodasasearchmediumthatithasseriouslybitteninto
theclassifiedadvertisingrevenuesofprintmediainthe21stcentury.
Most mass media would not exist if they did not receive hefty revenues from
advertising.TheonlyexceptionsarepublicservicemedialiketheBBC,wholly
funded by the state, and paid for by governments in various ways around the
world. These government-funded media comprise but a small fraction of the
total internationalmediascene. Nonetheless, media that depend on advertising
funding,thevastmajorityofmedia,donotthinkofthemselvesasbeingpartof
the ‘advertising industry’ either. They see themselves as purveyors of news,
information,andentertainment.Theycarryadvertisementstosubsidizeallthis,
sotheycanprovidecheaporevenfreemediaservices.Withinmostmedia,there
isarigorousseparationbetweentheadvertisingandtheeditorialoperations,and
thisisthe way the editorialpeople (and probably thepublic)prefer it. Sothat
althoughtheadvertisersandthemediaarefarandawaythelargestsectorsofthe
advertisingtripartite,forneitherofthemisadvertising‘theirindustry’.
The third leg of the advertising tripartite is the sector that produces the
advertisingcampaigns:theadvertisingagencies.Advertisingagenciescreatethe
advertisements,andonbehalfoftheirclientstheybuythespaceandtimeinthe
media, where the advertisements appear. The agencies are much the smallest
sectorofthe advertisingtripartite,butare theonlysectorthatwhollyrelieson
advertisingfortheirliving.Itisthissectormostpeoplethinkofwhentheytalk
about people who work ‘in advertising’. Certainly everyone who works in an
agency(unlikethosewhoworkforanadvertiserorforthemedia)willsaythey
workinadvertising.IntheUK,agenciesemployabout20,000people–farfewer
than are employed by advertisers, or by the media. The same is true,
proportionately,ineverycountry.
Untilthe1970s,agenciesdidmuchmorethanjustcreateadvertisementsandbuy
media for their clients. They handled almost every aspect of their clients’
marketingcommunications.Theyemployedfarmorepeoplethantheydotoday,
and because they did many different things, they were called ‘full-service’
agencies.Butduringthe1970sthingschangedcompletely.
Thedemiseoffull-serviceagencies
As their name implies, from their inception advertising agents were paid
commissionbythemediaforbringingthembusiness.Butthiscommissionlevel
varied, and was highly competitive. Publications that found it hard to get
advertisingmightpayagentsasmuchas30%forbringingthembusiness;other
agents,operatinginbetterestablishedareas,mightbepaidaslittleas2%or3%.
Before1914,theR.F.WhiteagencyhandledallBritishgovernmentadvertising
forjust2½%commission.Butthemostcommonlevelofcommissionhovered
around15%.
During the first half of the 20th century, in almost all countries, the 15%
commission level became the standard fixed rate of payment for agencies. In
returnforthisfairlygenerouscommissionlevel,agencieswererequiredbythe
media to be principals-at-law, legally responsible for paying the media even
whentheirclientsdefaulted.Agencieswerenotpermittedtorebateanypartof
thecommissiontotheirclients,andagencieswereresponsibleforcreatingand
delivering to the media their clients’ advertisements. Agencies only received
15% commission if they were ‘recognized’ by the media, and agreed to the
media’stermsofbusiness.Inpractice,the15%commissionsystemwasafixed-
priceclosedshop.Thoughitwasnotsurreptitious,andcertainlynotthenillegal,
theentiresystemwas,inaway,agenteelconspiracytoripofftheadvertisers.
Andinmost countries itheldsupreme formorethan halfa century,moulding
andshapingthestructureofadvertisingagencies,andoftheadvertisingindustry,
untilthelate1970s.
Forbidden by the media to rebate commissions to their clients, agencies could
notcompetewitheachotheronprice,andsocompetedbyofferingtheirclients
moreandmoreancillaryservices(nottomentiongenerousentertainments).By
the1920s,creativeandmedia-buyingserviceswereuniversallyacceptedascore
advertising agency activities. But agencies then began to offer their clients an
abundanceofadditionalservices whichwerenot intrinsicallyadvertisingatall
(though most of them were forms of marketing communication). Hence
‘recognized’agenciesbecameknown,andlikedtobeknown,as‘full-service’
theyprovidedallthemarketingservicesaclientcouldwant.
Thoughitis unlikely any oneagencywould have providedallof these at any
onetime,theraftofservicesadvertisingagenciesthenofferedincluded:
•directmailmarketing
•door-to-doordistribution
•homeeconomistconsultants
•in-storemerchandising
•marketresearch
•newproductdevelopment
•packagedesign
•postersiteinspection
•productsampledistribution
•publicandpressrelations
•salesconferenceorganization
•salespromotion
•tradeexhibitions
Recognized agencies provided these and other services to their clients at cut
prices:theagenciesviewedthemasloss-leaders,designedtohelpthemholdon
totheirclients’businessratherthantomakeadditionalprofit.Thiswaspossible
because the agencies were already making fat profits from their 15%
commissions, which not only covered the cost of creating advertisements and
buyingmediaspace,itsubsidizedthecostoftheseadditionalmarketingservices.
Butallthiscouldnotlast.Twonewdevelopmentscrackedthecosytraditional
system.
First, and in the long run most fundamentally, the leading specialists who
worked in agencies and supplied most of the marketing services listed above
brokeawayandsetuptheirownspecialistcompanies.Withinagenciestheyhad
alwaysbeenpatronized, lookeddownupon bytheadvertising specialists,who
correctlyfeltthattheythemselvesweretheagencies’raisond’être.Butasnew
forms of marketing communication grew both in size and in complexity, the
specialistswhowerereallygoodatthemleftandlaunchedtheirownbusinesses,
to which many clients quickly gravitated. And agencies could not compete
becausetheyhadlongofferedsuchservicestotheirclientsasloss-leaders,atcut
prices, and their clients were unwilling to pay them more. Doubly unwilling
when they realized the best practitioners of these services were leaving the
advertisingagenciestosetupontheirown.
Unlike the other marketing services, media buying had not been a loss-leader.
Mediabuying hadalways beena coreagency service.Nonetheless,thepeople
who worked in media buying were, like the marketing services people,
patronized by the advertising creative people, and were paid far less than the
creative people. They did not like it. Media buying too was becoming big
business,complexandhighlyspecialized.Sointhe1980sthebestmediabuyers
alsobrokeawayfromthe‘full-service’agenciesandsetuptheirownspecialist
shops.Andagain–initiallywithsomehesitation–manyclientsfollowedthem.
Second,atthesametimegovernments,particularlyintheUKandEurope,began
toviewthetraditional15%fixed-ratecommissionsystemasunacceptablyanti-
competitive.InBritainin1976,theOfficeofFairTradingruledthattheagency
recognition and 15% commission system run by the media was in restraint of
trade: illegal. The fixed-rate commission system swiftly disintegrated, and the
‘full-service’agenciesswiftlydisintegratedwithit,splittingintotheirconstituent
parts. Today almost all the old full-service agency functions are handled by
specialist companies. Today the agencies which create and produce
advertisements do little else, and are always called ‘creative agencies’. The
specialists who do little but plan and buy media are called ‘media agencies’.
Bothtypesofagencyaresupportedby‘planners’,whohelpthemcarryouttheir
roles.Buteventheplannersarespecialists.
Paradoxically perhaps, these developments have not been nearly so
thoroughgoing in small agencies which work for small advertisers. Many of
these smaller agencies are still ‘full service’, because they can only operate
profitably by providing a bundle of services to their small clients, and their
clientsdonotwishtopaythehighfeesthespecialistscharge.
And simultaneously a new animal has appeared in the advertising jungle: the
marketing services conglomerate. These are generally mammoth, international
holding companies. They own ‘creative agencies’ and ‘media agencies’, and
numerousothertypesofmarketingcommunicationscompany–marketresearch,
public relations, package design, conference organization, marketing
consultancy,andsoon–throughouttheworld.Andtheykeepallthedifferent
specialists in separate silos. The six largest holding companies, each of which
employs tens of thousands of staff around the globe, are currently Omnicom
(USA), WPP (UK), Interpublic (USA), Publicis (France), Dentsu (Japan), and
Havas(France).Thesecompaniesareoftencalled‘advertisingagencies’.Thisis
acompletemisnomer. Advertisingis only oneof themanymarketing services
theirnumeroussubsidiariesprovide,andnowadaysrarelythedominantone.
Thedigitalrevolution
It might be thought that the separation of creative and media agencies would
have converted the advertising tripartite into an advertising quadrapartite:
advertisers, media, creative agencies, and media agencies. But while these
changes were still being digested, at the end of the 20th century a completely
newdynamicenteredtheadvertisingworld:digital–andparticularlyInternet
advertising.
Throughout the world, the Internet has swiftly become a major advertising
medium.GlobalInternetadvertisingexpenditurehasrocketedfrom$9billionin
2002toapproximately$70billionby2011.Thishasprovidedboththecreative
andthemediaagencieswithnewopportunities–andnewheadaches.Neitherthe
creationofInternetadvertisements,northebuyingofspaceontheInternet,are
doneinquitethesamewayscreativityandmediabuyingweredoneinthepast.
Agenciesandclients have respondedintwo opposing ways.Onthe one hand,
highlyspecializednewdigitalagencieshavebeenlaunched;ontheotherhand,
many established creative agencies and media agencies have set up digital
‘departments’, often as subsidiary companies, to handle their clients’ digital
advertising requirements.Thejuryisstill out on whether digital advertising is
best handled completely independently, by its own specialists, or best handled
withinestablishedagencies,whereitcanbemoreeasilyintegrated.
6.GlobalInternetadvertisingrocketedfrom$9billionin2002to
approximately$70billionby2011
The old 15% commission and recognition structure had given the media
disproportionate power in the advertising process. Though agencies were
appointedbyadvertiserstohandletheiradvertising,theagenciescouldnottrade
unless they were ‘recognized’ by the media. They had to face both ways,
answeringtobothadvertisersandmedia.Todayallthedifferenttypesofagency
are paid directly by advertisers. The advertisers negotiate their fees, almost
alwaysbasedontheagency’stimecosts,determinedbytimesheetscompleted
byagencystaff.Thefeenegotiationsareincreasinglyhandledbytheadvertisers’
purchasingdepartments:advertisingandmarketingservicesareboughtlikeany
othercommodity.Asmentioned,intotaltheirfeesapproximatetoaround10%
oftheadvertisers’expenditure,aheftysavingofone-thirdagainsttheold15%.
But, it must be remembered, advertisers buy all their other marketing
communications services from other independent specialists. It seems most
unlikelythattheysavemoney,overall.
The large marketing communications conglomerates, like WPP and Omnicom,
try to sell to their clients bundles of the different services they provide. Their
clients rarely buy into this proposition. They prefer to choose and appoint all
their marketing communications suppliers independently and separately. The
clientsthenrequirethemalltoworktogether,tomaximizetheeffectivenessof
their campaigns. Sometimes lines get crossed, and the various independent
companies do not work togetherallthatwell.But there is no confusion about
whoisinchargeoftheshow:theadvertiserswritethecheques,andtheycrack
thewhip.Sowemustnowturntotheadvertisers,andanalysethemandtheways
inwhichtheyoperateinmoredetail.
Chapter3
Advertisers:thepaymasters
Whydoadvertisersadvertise?
The firstandmostimportant decision any advertiser makesis…to advertise.
Many people think large companies have no choice but to advertise. This is
simply wrong. Many of the world’s largest businesses – especially heavy
industrialbusinesseslikesteelmanufacturersorshipbuilders–donoadvertising
atall,orsolittleithardlycounts.Theynormallyhavenoneedtocommunicate
withthepublicatlarge,andtheyhavesofewkeycustomerstheycanreachthem
personally. Someother large companies, of which Google is perhaps the most
famousexample,gettheirnameandwhattheyofferacrosstothepublicinother
waysthanbyadvertising,usually‘wordofmouth’recommendation.Nowadays
thisisoftencalled‘viralmarketing’.Viralmarketingtendstobemostsuccessful
whenabusinessisrelativelyyoungandnewsworthy:evenGooglehadtostartto
advertise, using traditional media, in 2009. (Similarly, Virgin did little
advertisinginitsearlydays,butisnowabigadvertisingspender.)
Otherbusinessesdonotadvertisethemselvesbecausetheyhavenoneedto,but
do advertise their output – movie companies and book publishers are good
examples. With a few exceptions, the public neither knows nor cares which
movie company made a particular movie or which publisher published a
particularbook:theyonlywanttoknowaboutthecontentofthefilmorbook,
andthewriters,stars,andfilmdirectorsinvolved.
Moreover,mostmembersofthepublicbelieve–youmaywellyourselfbelieve
–thattheyarerarely,ifever,influencedbyadvertising.Soifsomecompanies
succeed without advertising, and most people feel they are not influenced by
advertising,whyonearthdoadvertisersadvertise?
Advertisingcostsmoney,andnobusinesslikestospendmoneyunlessithasto.
Thebusinessesintheparagraphaboveknowtheydonothavetospendmoney
onadvertising,sotheydon’t.Thebusinessesthatdoadvertise–thatis,thegreat
majorityoflargebusinesses–believethatitisessentialforthemtodoso.They
believe,indeedtheyareconvinced,thatthebenefitstheyobtainfromadvertising
outweigh the costs, hopefully by a substantial margin. Which, then, are the
businesses that advertise? On page 33 is a breakdown of the top dozen
advertisingsectorsinBritain.
Though there will be national variations, this list will be much the same in
almostall economicallyadvancedcountries–andforthesamereasons. These
businesssectorshaveverylargetargetmarkets,andtheybelieveadvertisingto
be the most cost-effective way to reach these target markets. Despite its
considerable cost, they believe advertising is the least expensive means of
persuadingtheirtargetmarketstobuytheirproducts.Whatisthebasisforthese
seeminglyoptimisticbeliefs?
Ifyouhave read muchaboutadvertising, you willprobably have comeacross
thismaxim:
IknowhalfofallthemoneyIspendonadvertisingiswasted,butIhaveno
meansofknowingwhichhalf.
In Britain, this maxim is usually attributed to the first Lord Leverhulme, the
founder of Unilever; in America, it is attributed to the great retailer Sam
Wanamaker.Infact,thereisnoevidenceeitherofthemsaidit.Itisprobablya
bastardizationofsomethingrathersimilarsaidin1916byAdolphS.Koch,then
thepublisherofTheNewYorkTimes.Themaximsoundsprofoundandpregnant
withmeaning,whichnodoubtexplainswhyithassurvivedforalmostacentury.
Butinrealityitis,assoonasyoubegintothinkaboutit,manifesttosh.What
coulditmean?Thatthefirsthalfofanytelevisioncommercialiseffectivebut
the second half is not? That every alternate second is
effective/ineffective/effective/ineffective…? That the left-hand side of every
billboard works but the right-hand side is useless? The idea is incapable of
analysis. However, the maxim does, tangentially, hint at a key aspect of
advertisingwhichislittleunderstood.
Let us return to the notion of a ‘Golden Key’, which somehow makes some
advertisingsuccessfulwhileotheradvertising(lackingthisnotionalGoldenKey)
is unsuccessful.Orasthe maxim claims: there is advertisingwhichis wasted,
and advertising which is not wasted. The underlying assumption is that
advertising is a game of two halves: advertisingwhich works, and advertising
whichdoesnotwork.Thisbeliefiswidespread,andisnotconfinedtomembers
of the public. It is almost universally accepted by people who work in
advertising–whethertheyworkforadvertisers,themedia,oragencies.Butitis
far, far too simple. Advertising is not a game of two halves; advertising is a
rainbow,oranywayaprismaticspectrum.
Thinkofitthisway.Youwanttosellanoldbike.Soyoubecomeanadvertiser,
and put an advertisement on the Internet or in your local papers classified
advertisingsection.Youmaygetanofferfromoneprospectivebuyer,ortwo,or
ten, or maybe even more than twenty – or from any number in between. Of
course,youmaygetnilbuyers,inwhichcaseyoucanarguetheadvertisement
hasdefinitelyfailed,thoughevenhereitmaynotbetheadvertisementassuch
that failed. Many people may have been interested by the advertisement but
decided they didn’t like the details of the bike mentioned: its colour, or its
handlebars,orwhatever.Inanyevent,everylevelofresponseabovenilshows
somelevelofsuccess,fromminimal(one)tomassive(20+).Andanyway,few
commercial advertisers ever run just a single advertisement. They run
campaigns, with lots of advertisements. Almost inevitably, some of the
advertisementsgeneratesomeresponse,howeversmall.Evensomeofthemost
celebrated disaster campaigns in advertising history, like those for Strand
cigarettesinBritainandfortheFordEdselcarinAmerica,soldafewcigarettes
and a few cars. Advertising results, then, are not a black/white division into
success/failure,orwasted/notwasted.Advertisingresultsareacontinuum.
7.Oneofthemostcelebratedcampaigndisastersinadvertisinghistory
Moreover,foradvertisersthekeyquestionisnotmerelywhethertheadvertising
generatedanysales.Thekeyquestionis:didthelevelofsalesmorethancover
the cost of the campaign, and so produce a profit? Because this, or course, is
whyadvertisersadvertise:tomakeaprofit.
Yetagain,thisisnotaneasyquestiontoanswer,becauseadvertisinggenerates
andadvertisersalmostalwaysintendittogenerate–bothimmediatesalesand
long-termsales.Advertiserswantbothtogetbackthemoneytheyhavespenton
theircampaignfairlyquicklyandtobuildlong-termbrands.Advertiserswant,as
it were, to have their cake and eat it. So this is the final answer to why
advertisersadvertise:torealizeaprofitquitequickly–howquicklyvariesfrom
advertisertoadvertiser–andtomakecontinuingprofitsinthefuture.Andnone
ofthisiseasyforadvertiserstoachieve,letaloneeasytomeasure.
TheIPAAdvertisingEffectivenessAwards
Over recent decades, as financial analysis techniques have grown ever more
sophisticated in all aspects of business, questions of financial accountability
havepredictablygrownevermorecriticaltoadvertisers.Topfinancialdirectors
working for advertisers have grown increasingly powerful within their
companies,andduringthe1970sanewphrase–‘cost-effectiveness’–became
the mantra of the day. The finance directors of major advertisers wanted their
companies’ advertising spends to be proved cost-effective, to show a proven
profitonthecompanybalancesheet.
Responding to their concerns, in the late 1970s a group of leading UK
advertising agency researchers and planners, led by a man called Dr Simon
Broadbent,realized itwasbecomingurgentforagencies tomeet thechallenge
andprovehowcost-effectiveadvertisingcanbe.Broadbent,withanOxfordfirst
andaPhDfromLondonUniversity,hadworkedinChicagoaftergraduating,and
heknewthatadvertisingevaluationhadmademoreprogressinAmericathanin
Britain. In America, in 1961 the Association of National Advertisers – the
advertisers, not the agencies – had published a highly influential short book
called Defining Advertising Goals for Measured Advertising Results
(DAGMAR).DAGMAR,whichisstillbeingregularlyupdatedandrepublished,
setoutclearproceduresformeasuringadvertisingeffectiveness,stressingthatit
wasessentialtospecifyinadvancethemeasurementcriteria,andthemeansof
evaluation, to be used. All this remains equally true today. Following the
publication of DAGMAR, in 1969 the American Marketing Association
launched anawardscompetition called the EFFIES.TheEFFIES awards were
designedtohonourcampaignsthatcouldprovetheyhadbeencost-effective.
Returning to Britain from America, Broadbent naturally knew all about
DAGMAR and the EFFIES. He determined that Britain needed an advertising
effectiveness awards competition of its own. By nature a somewhat academic
businessconsultantratherthanawords-and-picturesadman,Broadbentwanted
theschemetobemorerigorousthantheEFFIES.Andhewantedittoberunby
agenciesratherthanbyadvertisers.In1980,hepersuadedtheBritishagencies’
tradebody,theInstituteofPractitionersinAdvertising(IPA),tolaunchtheIPA
AdvertisingEffectivenessAwards.
IPAAwardswouldbewononlybythecasehistoriesofcampaignsthatshowed
detailed sales results, encoded for confidentiality if necessary. The papers
enteredwouldneedtorevealexactlyhowthesaleshadbeenmeasured,andwhat
marketresearchhadbeencarriedouttovalidatethem.(Wewillexploreallthis
further in Chapter7.) Every agency entry would have to be signed off by the
advertiser, who would authenticate its accuracy. The case histories would be
judgedbyajuryofeminentacademicsandbusinesspeople,aswellasbymarket
researchersand leadingagencypeople. InBroadbent’swords,the creativity of
the advertisements would play no part whatsoever in the competition. Indeed,
rathersurprisingly,theadvertisementscouldnotbepartoftheentry.
TheIPAAwardshadfouraims:topersuadedoubtersandcynicsthatadvertising
iseffectiveandmeasurable;topersuadeadvertisers–andespeciallyadvertisers’
finance directors – that agencies are serious about sales and profitability, and
don’tcarejustaboutself-indulgentcreativity,asisoftensuspected;topersuade
agencies that producing cost-effective advertising can be good for their
reputations;andtoencouragebestpracticeincampaignplanningandevaluation.
Over the succeeding three decades, those four aims have been achieved
triumphantly.
Since1980,some1,000casehistorieshavebeenenteredfortheIPAAwards.In
aggregate,theyprovidearichdatabankofdifferentbrandsandmarkets–large
andsmall,nationalandregional,consumerandspecialist.The400winningand
commendedpapersarepubliclyavailablefromtheIPAdatabank,fromtheWorld
AdvertisingResearchCenterwebsite(http://www.warc.com),andinbookform.
Togethertheycomprisethelargest,mostcomprehensive,andmostauthoritative
collection of successful advertising case histories available anywhere in the
world.TheIPAAwardsdonotprovethatalladvertisingiscost-effective.Aswe
saw in the preceding section, this is not true, nor could it ever be. But they
demonstrateconclusivelythatwell-plannedadvertisingcanbe,andfrequentlyis,
extremelycost-effective.
Aboveall,theIPApapershaveshownthatadvertisingnotonlyworks,butworks
in a cornucopia of different ways. The list of advertisers’ various possible
campaignobjectivesthatisshownonpages5–6isderivedfromthem,asisthe
factthatthe ‘average’campaignhassome2.5objectives. Thoughitwasnever
their intention, the IPA Awards have demonstrated why no ‘Golden Key’ will
everbefound–andtheyhaveprovedthat,althoughalmostnobodyadmitsthey
areinfluencedbyadvertising,whethertheylikeitornot,theyare!
Buildingprofitablebrands
Excellentastheywere,theIPAAwardsinitiallyhadaseriousflaw.Forthefirst
decade, the entriesconcentratedon relatively short-term sales results, showing
howwelltheadvertisinghadworkedoverperhapsacoupleofyears.Butaswe
saw earlier, advertisers generally want both short-term and long-term results.
Advertiserswant,andindeedneed,theircampaignsbothtogenerateimmediate
salesandtobuildlong-termbrands.
Once again, it was Dr Simon Broadbent who identified this problem. In
September1988,hepublishedaninfluentialarticleinwhichhewrote:‘TheIPA
Awards should introduce a class of entries which is about the long-term
effectsofadvertising.’Twoyearslater,in1990,anappropriatenewIPAAwards
categorywasintroduced.ThefirstwinnerwasPGTipsTea.Thewinningpaper
was titled‘PGTips’ 35 CompetitiveYearsatthe Top of the Tea Market’, and
chronicledthestoryoftheoftenhilarious,long-runningPGchimpscampaign,in
which chimpanzees were endowed with human personalities and voices, and
swigged down their PG tea with gusto. Since then, other successful long-term
campaignshavebeenanintegralpartoftheIPAAwards.
For advertisers, the embodiment of long-term sales is the brand. Brands first
appearedinVictoriantimes,andnumerousVictorianbrandsstillexistafter200
yearsormore–thattrulyislong-termsalessuccess!Bovril,Cadbury,Colman’s,
Crosse and Blackwell,Lea& Perrins, Oxo, Rowntree, Schweppes, TheTimes,
and Wright’s Coal Tar soap, to mention but a handful, are among the British
brands that have achieved double-century longevity. Many of these brands
recognizedtheimportanceofadvertisingfromthestart,andbythe1890smost
wereemployingadvertisingagencies.Inthatdecade,PearsSoaproutinelyspent
over £100,000 annually on advertising, its budget having grown by leaps and
bounds from a mere £80 in 1875. Frances Pears, the chairman of the family
business, resigned as he was petrified that such huge advertising expenditures
wouldbankruptthecompany.Instead,theadvertisingbuiltoneofthefirstgreat
soapbrands.
8.ThechimpshelpedmakePGTipsthebrandleaderintheteamarket
for35years
9.Someleadingbrandshaveexistedforover200years
What, then, is a brand? Brands and branding started out as a way for
manufacturers to help customers recognize their products, and to buy them
because they were consistent and reliable in an era of adulterated goods and
unevenqualitycontrol.However,todaytheconceptofabrandhasbecomefar
morecomplexthanthat.Todaytheremustbealmostasmanydefinitionsasthere
arebrandsintheworld.However,allagreethatabrand,oranywayasuccessful
brand,mustmeetthefollowingfourcriteria:
1)Thebrandwillhaveauniquenameandpackaging,andusuallyalogo,
allofwhichwillbeeasilyandinstantlyrecognizablebyitstargetmarket.
2) It must be perceived by its target market to have qualities which
differentiate it from other, similar brands. (This is called its brand
positioning:thesequalitiesdefineitspositionrelativetootherbrandsin
itsmarket.)
3) The qualities will be both functional and emotive: its purchasers will
boththinkandfeelthebrandisdifferentfrom,andintheireyessuperior
to,others.
4) These perceptions will allow the brand to command a premium price
above unbranded, commodity products, and thus to generate greater
profitsforthecompanythatownsit.
Brands do not necessarily need to be more expensive than their competitors:
todayretailers’ownbrandsareusuallycheaper,butareseenbytheirpurchasers
to be excellent value, that is the way such brands are superior. Brands do not
necessarily need to be superior in quality to their competitors: in terms of
quality, popular family cars cannot compete with Porsches and Bentleys, but
againtheyareseenbytheirpurchaserstobeexcellentvalue,andthatistheway
theyaresuperior.
Clearlytheconceptofvalueisintrinsictotheconceptofabrand.Thisisbecause
value,likebeauty,isintheeyeofthebeholder.Itisthequalitiesthatarevalued
bythebrand’spresentandfuturecustomers–itstargetmarket–whichmatter.
Thesemayormaynotbethequalitiesthetechniciansinthelaboratoriesbelieve
matter; they may or may not be the qualities that experts and pundits believe
matter.Itisthetargetmarketthatchooseswhatmatters,andwhatitiswillingto
payfor.Itschoiceswillbeinfluencedbyexperienceoftheproduct(orservice);
bytheadvertising; by othermarketingcommunications; by media publicity of
allkinds;andbypersonalrecommendations.Iftheseblendtogethertogivethe
brandastrongandpositivereputation–astrongandpositivebrandimage(page
12) – the brand is destined for success. Perception, reputation, image are the
essenceofabrand.Theyarethereasonspeoplebuy(ordonotbuy)thebrand.
Andmorecrucially,theyarethereasonspeoplecontinue(ordonotcontinue)to
buythebrandagainandagain.
Ifabrand’sreputation,itsimage,issufficientlystrong,itssuccessmaycontinue
fordecades,oreven,aswehavejustseen,forcenturies.Butthiswillonlyoccur
ifthebrandowner–theadvertiser–continuouslynurturesthebrand,ensuring
thatitconstantlyandunremittinglyoffersgoodvaluetoitstargetmarket.Inthe
fast-changingandhighlycompetitiveworldinwhichwelive,thiswillnotoccur
by happenstance. It will demand persistent effort and careful management,
continuingbranddevelopment andimprovement.Butallthisiswell worththe
effort. Brands can be the keystones upon which the long-term success of
companiesisbuilt.Brandsensurethattheprofitsmadebyadvertisingcampaigns
are not fly-by-night: the campaigns deliver profits almost immediately and
profitsinthefuture–exactlywhatadvertisersrequireinordertobuildhealthy
long-termbusinesses.
Onefinalpointonthe subjectof branding.Nowadaysbrands areso important
that most advertising people, both in and out of agencies, talk as though all
advertisingisbrandadvertising,designedtoproducelong-termaswellasshort-
termresults.Thoughthisisgenerallythecase,itisnotuniversallytrue.Think
againofthat oldbikeadvertisement(page 34).Oncethebikeissold,that’sit:
jobdone.Similarly,afairamountofdirectresponseadvertising,selling goods
directly from the page or off the screen, is instant, and not really branded.
Customersrespond toeach individualadvertisement,andother customersmay
respondtothe nextone.Thecompanieswhorunsuchadvertising will,ifthey
aregoodattheirbusiness,goonandon,runningofferafteroffer.Buttheymay
notbother,orwant,tobuildthemselvesasbrands.Theyhavenoneedto.
Thisisanothertellingexampleofhowvariedanddisparateadvertisingcanbe.
Inthegreatadvertisingfirmament,however,suchadvertisersoccupybutatiny
niche. Brands are the stars and galaxies which glitter and gleam throughout
advertising’sskies.
Chapter4
Themedia:blowingtheadvertisers’trumpets
Themediaspectrum
Wenowcometothesecondpartoftheadvertisingtripartite:themediathatcarry
the advertisements.Onceagain,wemustbegin by carefully defining what the
mediaare,especiallybecause‘media’hasbecomesomethingofajargonwordin
recenttimes,muchabusedandmisused.Duringthelast100yearsorso,boththe
numberandthevarietyofmediahaveexploded.Awidespectrumoftotallynew
mediahavearrived,andoldermediahavedividedandsubdividedthemselvesto
reachevermorespecificgroups,incarefullytargetedways.Andwiththemore
recent arrival of the Internet and of digitization, the entire advertising media
scenehasfounditselfinastateofconsiderableflux.Sincethebeginningofthe
21st century, media throughout the world have been constantlychanging. It is
almostanybody’sguesswherethesechangeswilleventuallyendup(andalmost
everybodyinthemediaiswillingtoofferaguessortwo).Thebestthatcanbe
done here, therefore, is to give a clear picture of the media as they are today,
withsomehintsastowhatthefuturemaybring.
Mediais,ofcourse,simplytheLatinpluralformofthesingularnounmedium.
Mediumhasseveraloverlappingmeanings,butintheOxfordEnglishDictionary
youwillfindtherelevantdefinitiontobe:
Any intervening substance through which a force acts on objects at a
distanceorthroughwhichimpressionsareconveyedtothesenses.
Thisalmostexactlydefineswhatamediumisinadvertising:‘Anyintervening
substance … through which impressions are conveyed to the senses.’ The
impressions are the advertisements, and the leading media conveying them to
oursensesarethenewspapers,magazines,television,radio,directmail,posters
andtransport,cinema,andtheInternet.
Naturally,advertisershavetopaythemediaforconveyingtheirmessages.And
this leads us to the three basic criteria by which advertisers judge the
effectivenessofalladvertisingmedia:
1) How many people in the advertisers target market does the medium
reach?And–usingmarketresearch–whatkindofpeoplearethey?
2) How much does it cost to use the medium? (And compared with
alternativemedia,isitthebestpossiblevalueformoney?)
3) How powerful and persuasive is it as an advertising medium
particularlyforthespecificgoodsorservicesbeingadvertised?
Inthischapter,wewillmainlybelookingatadvertisingmediaintheUK.But
thesethreequestionsarefundamentaltoalladvertisingmedia,aroundtheglobe.
ToexplorethemwewillnowconsidereachofthemainUKadvertisingmedia
sectors, looking first at their relative sizes, as measured by the amounts of
advertising money spent with each of them. Their relative sizes vary from
country to country, but these key media, often called the ‘prime media’ in
advertising,areimportanteverywhere.
Itwillreadilybeseenthatinlittlemore thanadecade,theInternethaswona
massiveshareoftheadvertisingmarketintheUK–asithasineverycountryin
the world. Most of its gains have come in the form of ‘search’ advertising
where you click-through from sponsored listings to promotional websites.
Internet search advertising is akin to traditional classified advertising, and the
Internethasgained most ofitssearch advertisingatthe expense ofnewspaper
andmagazineclassifiedadvertisingsections.ButInternetdisplayadvertising
banners,pop-ups,andthelike– hasalsosteadilygaineddisplayrevenuefrom
thetraditionalmedia,thoughnottoanythinglikethesameextentas‘search’has
done.Evenaftermorethanadecade’sexistence,nobodycantellhowlargethe
Internet’s share of advertising will eventually grow to become, nor, by
implication, how hard the traditional media will eventually be hit. But the
general consensus is that the Internet’s advertising growth will continue for
manyyearsyet.
Havingsaidwhich,thelongerestablishedmediastillreceivemorethan80%of
alladvertisingexpenditure,andsoitisthesethatwewillconsiderfirst.
Pressandmagazines
Contrarytomostpeople’sperceptions,with31%ofallrevenue,printmediaare
stillthe biggestmediasector. Themoney spentinpress andmagazines breaks
down:
Nationalnewspapers
With11majornationaldailiesandthesamenumberofnationalSundays,Britain
hasthestrongestandmostdiversenationalpressintheworld:
Nationaldailies(readby44%oftheUKadultpopulationintotal)
DailyExpress
DailyMail
DailyMirror
DailyRecord(Scotland)
DailyStar
DailyTelegraph
FinancialTimes
TheGuardian
TheIndependent
TheSun
TheTimes
NationalSundays(readby48%oftheUKadultpopulationintotal)
IndependentonSunday
MailonSunday
NewsoftheWorld
People
SundayExpress
SundayMail(Scotland)
SundayPost(Scotland)
SundayTelegraph
SundayTimes
TheObserver
This galaxy of national newspapers provides advertisers with a plethora of
choice unparalleled in other countries. The UK circulations of these papers
variesfromthelargest,theNewsoftheWorld(3,087,000)downtothesmallest,
theFinancialTimes(134,000).Nowadaysmarketresearchdata(liketheTarget
Group Index, see page 10) provides a vast amount of information about the
readersofeach newspaper. Advertisers can thusselectfor their campaignsthe
papers that are specifically read by their target markets. The cost of buying
advertising space is broadly proportional to the size of the circulation, but the
qualitypapers–suchastheFinancialTimesandTheTimes,theSundayTimes
and Sunday Telegraph – can charge higher prices because they provide
advertisers with more affluent and more influential readers. And because a
significantproportionofadvertiserswanttheircampaignstoreachaffluentand
influential people, they are willing to pay a premium price to advertise in the
papersthesepeopleread.
The cost of the advertising will also be determined by the size of the
advertisement, whether or not it is in colour, and its whereabouts in the
newspaper. Larger advertisements cost more than smaller ones, but the cost is
notdirectlyproportionaltosize:toencourageadvertiserstobuybiggerspaces,
smaller advertisements are generally slightly more expensive pro rata. Colour
advertisementsaremoreexpensivethanblackandwhiteones:historically,this
was because colour used to cost more to print – today the printing cost
differentials are small, and the price differentials simply reflect supply and
demand. Similarly, newspapers charge more for advertisements in certain
positions,positionswhichmanyadvertiserswantbecausetheyarelookedatby
more readers of the publication, or by their particular target market (sports
products on sports pages, for example); obviously the cost of printing the
advertisements does not change with the position – again, the different prices
simplyreflectsupplyanddemand.
With so many newspapers to choose from, and so much choice within each
newspaper,thebuyingandsellingofspaceinnewspapersisextremelyflexible,
and subject to considerable negotiation. For the advertiser, the key factor in
makingthefinalselectionwillbethecostperthousandreaders.Thisfigureis
thecostofthechosenspace–largeorsmall,colourormonochrome,wherever
positioned – per 1,000 readers in theadvertisers target market. Media buying
specialistswillcalculateexactlyhowmuchitcoststoreachthisnotional1,000
targetreadersinalltheavailablenewspapers.Theywillthenbeabletomakean
objective cost comparison between all the possibilities, and unless there are
special circumstances, the media specialist will advise the advertiser to place
theircampaigninthecheapestnewspaperornewspapers.
This cost per thousand calculation, suitably adjusted, applies in all media
whetheritbecostperthousandreaders,ortelevisionviewers,orradiolisteners,
or (in the case of direct mail) addressees. It is seldom a helpful device when
makingcomparisonsbetweenmedia:youcannotsensiblycomparethecostper
thousandforatelevisioncommercialwiththecostperthousandforamagazine
advertisement–the effects ofthedifferentmediaaretoodisparate.Butwithin
anyonemediasector,costperthousandisthesinglemostpotentweaponinthe
mediabuyersarmoury.Providedyouminimizethecostofreachingyourtarget
market,asanadvertiseryouwon’tgofarwrong.
Regionalnewspapers
In the USA and many other countries, where there are very few national
newspapersandtheircirculationsarequitesmall,regionalnewspapersareeven
moreimportantasadvertisingmediathantheyareinBritain.However,evenin
Britain,thereareover1,100regionalnewspapersand,ascanbeseenabove,to
many people’s surprise they carry more advertising than the national
newspapers.Thisisbecausetheyare,intotal,readbysignificantnumbersofthe
population.
Most of the regionals’ advertising revenue comes from national retailers and
local advertisers. With the exception of retailers, national advertisers rarely
advertiseinregionalpapers.Thisisbecausethecostperthousandinregionalsis
farhigherthanitisinthenationals.Thecostperthousandcirculationofafull-
pageadvertisement(blackandwhite)issixtimeshigherintheregionalBristol
Evening Post than in the national Sun, for example. Other regional versus
national newspaper comparisons would be similar. This is why, in the UK,
nationaladvertisersalmostalwaysusenationalnewspapers,exceptwhenthereis
aspecificreasontoadvertiselocally.
While,ashasbeensaid,comparingcostsperthousandbetweendifferentmedia
sectorscanbeunreliable–tosomedegree,youwillalwaysbecomparingapples
withoranges–itisnonethelessimportanttoknowthatthecostperthousandis
nowadaysoftencheaperforInternetadvertisingthanitisfornewspapers.Thisis
akeyreasonwhysomuchadvertisingexpenditureismigratingfromnewspapers
totheInternet.InboththeUKandtheUSA,thepreviouslystrongnetworkof
regionalnewspapersisunderseverecompetitivethreatfromtheInternet,andin
consequencethelong-termfutureofregionalnewspapersis,atpresent,farfrom
assured.
Consumermagazines
Foradvertisers,consumermagazinescanbroadlybedividedintotwogroups:
•Generalinterestandwomen’smagazines
•Specialinterestandhobbymagazines
Asmightbeexpected,thefirstgrouphaverelativelyhighreadershiplevels,just
belowthoseofthenationalpress.
Thereadershipsofspecialinterestandhobbymagazinesarefarsmaller.Somost
of the major national advertisers who use magazines for their campaigns use
general magazines – such as the Radio Times (circulation 1,046,726) – or
women’s magazines – such as Good Housekeeping (circulation 430,971).
Specialinterestandhobbymagazines’circulationsusuallyfallinthe50,000to
100,000bracket.Moreover,althoughtheiradvertisingratesarerelativelylow,as
withregionalnewspaperstheircostsperthousandcirculationarerelativelyhigh
–almost alwaysexceeding thoseofthegeneralandwomen’s magazines.Still,
for advertisers whose target markets are specific – minority sectors of the
population, like anglers or amateur photographers – specialist magazines are
ideal,andtheyareabletosellspaceatapremiumpricetoadvertisersaimingat
thoseveryspecific,relativelysmallmarkets.
As with newspapers, magazines charge more for larger than for smaller
advertising spaces, more for colour than for black and white, and more for
specially prized positions: at the front of the magazine or facing editorial
articles, for example. However, one important advantage magazineshave over
newspapers is that they lie around far longer (think of the ancient issues you
sometimes find in dentists’ waiting rooms!). This longevity means they
accumulate far more readers per copy than newspapers do. As a result, their
readerships are far higher than their circulation numbers suggest. Readership
datafrommarketresearchsurveys showsthatVogue,forexample,hassome6
readers per copy, while Golf World has a massive 12.5 readers per copy. No
newspaperhasthatmanyreaderspercopy.Andasadvertisersaregenerallymore
interested in total readership numbers than in simple circulation numbers, the
costperthousandreaders,aswellasthecostperthousandcirculation,willbe
animportantfactorinfluencingthechoiceofwhichnewspapersandmagazines
touseforanycampaign.
Tradejournalsanddirectories
The two remaining major groups of publications in the print sector, trade and
professional journals and directories, together carry some 22% of all print
advertising expenditure – so are larger than the consumer magazine sector,
thoughthelatterhasamuchhigherprofileformajoradvertisers.
Thereasonfor their lowprofileis thatneithertrade and professionaljournals,
nordirectories, areseenasgeneraladvertisingmedia.Their rolesarefarmore
specific. As with specialist and hobby magazines, they are ideal for reaching
theirparticulartargetmarkets.Tradeandprofessionaljournalswillthereforebe
used extensively by advertisers wishing to reach, for example, doctors or
dentists, builders or engineers. There are some 2,000 trade and professional
journalsintheUK,coveringalmosteverytradeandprofessionalsectoryoucan
thinkof,withcirculationsusuallyinthe20,000to50,000bracket.
Directories,incontrast,havemassivecirculations,andevenlargerreaderships.
Over30millionpeoplein theUKconsult YellowPagesannually.Butthevast
majority of advertisements in directories are ‘listings’ – and listings are like
newspaper classifieds: advertisements which people look for, rather than
advertisementswhichlookforpeople.Theydonotthereforeinvolveadvertising
skillsinthesamewaythatdisplayadvertisementsdo.However,itmustnotbe
forgotten that there are also a fair number of display advertisements in
directories, some of them from major national advertisers – and these call for
muchthesameskillandinputasdisplayadvertisementsinotherprintedmedia.
Wehavenowcompletedouranalysisofprintedadvertisingmedia.Itistimeto
takealookattelevision.
Television
In the public mind, throughout the world, television is the archetypical and
predominantadvertisingmedium.Indeed,whenmembersofthepublicareasked
wheretheyhaveseenanyadvertisement,thelikelihoodistheywillsaytheysaw
itontelevision–eveniftheadvertisementhasneverappearedontelevision.(A
perfect illustration of the fallibility of people’s memories, and a warning that
marketresearchresultsmustalwaysbeinterpretedwithcaution.)
Commercialtelevision–televisionfundedbyadvertising–startedintheUSAin
the1930s,butdidnotbegininBritainuntil1955,andinBritainitwasthought
fromthestarttobesopowerfulthatitneededtobecontrolledbyparliamentary
statute.Whileothermediaarepermittedtopublishasmuchadvertisingasthey
wish(thoughpostersitesarecontrolledbylocalauthorities),the1954Actwhich
set up British commercial television ensured that the quantity, timing, and
content of advertisements would be controlled by statutory bodies. Not until
December 2003 did Ofcom – the governmental regulator now responsible for
Britishcommercialtelevision–subcontractcontrolofthecontentoftelevision
advertisements.However,Ofcomretainedcontrolofthequantityofadvertising,
andofitsoveralltiming.
The consequences of this government control have been considerable, and are
entirely foreign to other media in the UK – though television advertising is
subject to similar constraints in many countries of the world (excluding the
USA). In the UK, the limit on the number of minutes that can be devoted to
advertisementsinanyhourhasinfluencedthecostoftelevisionadvertising;the
controlofthecontentoftelevisionadvertisementshasmadeitnecessaryforall
commercialstobeapprovedbeforetheyaretransmitted,bothinscriptformand
whenfinallyproduced(unlikeadvertisementsinothermedia);thecontrolofthe
timingofadvertisinghasallowedthegovernmenttoensurethatcommercialsfor
certainproductswillnotbetransmittedattimesitdeemsinappropriate(mainly,
this means that commercials it is felt children ought not to see must not be
transmitteduntillateintheevening).
Initially, the UK government sought to build up a regional television
broadcasting structure by assigning separate contracts to different regional
companies, each of which –likealocalnewspaper– covered its own allotted
areaoftheUK.Thissystemworkedwellatfirst.Butfromthe1960sonwards,a
raftofadditionalcommercialchannelswerelaunched–firstChannel4,then5,
GMTV,Sky,andahostofothersatellitebroadcasters–atwhichpointtheold
regional structure became hopelessly blurred. Today over 600 terrestrial,
satellite,andcabletelevisionstationsbroadcastintheUK,thegreatmajorityof
them reaching tiny, specialized viewing audiences but covering the entire
country.AllmustbelicensedtobroadcastbyOfcom,andpayOfcomafeefor
theirlicence.
However, the largest television audiences still gravitate towards the long-
establishedterrestrialstations. Thisoccurseven in the40%of UK homesthat
receivebothterrestrialandsatellitechannels:
The fragmentation of television audiences during recent decades, which has
happenedthroughouttheglobeasnewchannelshavebeenlaunchedeverywhere,
hascausedadvertisersmuchconcern.Advertiserslookbacknostalgicallytothe
years when a single spot transmission would be seen by the majority of the
populationatonefellswoop.(ThiswastrueevenintheUSA,wheretherehave
always been far more channels than in European countries.) This made the
televisionadvertisingofmassconsumerproductsrelativelystraightforward–not
tosayeasy–whereastodayitisnecessaryforadvertiserstobuildupcoverage
of their target markets over time, by advertising on a host of channels with
separate audiences. Still, it is arguable that advertisers worry rather too much
aboutthisproblem, asadvertisinginothermediahasalwaysbeenfragmented.
Moreover, advertisers gain considerable benefits from the price competition
between the numerousbroadcastingstations.And television remains much the
fastest way to build up public awareness of a new brand or a new campaign.
Seldomdoesanewbrandornewcampaignthatsolelyusesothermedia,without
usingtelevision,reachhighlevelsofpublicawarenessveryquickly.
Television isalsothe mostthoroughlyresearched of allthe media. Inthe UK,
viewership data is provided by the Broadcasters’ Advertising Research Board
Limited(BARB),acompanysetupbytheadvertisingindustrytoproviderobust
and trustworthy information to all interested parties. BARB subcontracts the
collectionofthisinformationtoseveralresearchcompanies.Themostbasicdata
iscollectedfromasampleof5,100homes,inallofwhichmetersareconnected
totheirtelevisionsets.Thesemetersrecordcontinuouslywhetherornottheset
ison,whichchannelitistunedto,andwhenchannelsarechanged.These5,100
homesrepresentsome11,300residents.Anadditional52,500individualviewers
are interviewed annually, and their viewership data correlated with the 5,100
meterrecords.Viewershipresultsfromthemetersarepublishedonaminute-by-
minutebasis,and thedatais processedovernightto be releasedat 9.30am the
followingmorning.
As with other media, the key tool in the advertisers television time-buying
toolbox is the cost per thousand target viewers. The BARB research system
meansthatinmanywaysthebuyingoftelevisionadvertisingtimeisbothmore
accurateandmorecomplexthanthebuyingoftimeinprintmedia,becausefar
more is known about the ways viewers watch than is known about reading
patterns. The exact composition of television audiences, broken down by age,
sex,employment,region,familycomposition,buyinghabits,andotherdata,can
be continuously analysed. For example, viewers’ programme switching can be
trackedthroughoutanevening;andthedifferentviewingpatternsinhouseswith
multiplesetscanlikewisebemeasured.Allthismakesitpossibletopinpointthe
televisionviewingoftargetmarketswithgreataccuracy.Themediabuyerwill
then be able to evaluate precisely, on a cost per thousand basis, which
programmes,andevenwhichbreaksinwhichprogrammes,willreachthetarget
marketmost cost-effectively. Thereare greatdifferencesinprice,forexample,
betweenpeak-time(mid-evening)andoff-peak (early, late,anddaytime)spots,
and the differences approximately reflect the size and composition of the
audiences.
Still, it must not be thought that all this makes the buying of television
advertising robotic. Viewers often fail to watch programmes they have been
predicted to watch, and inter-channel competition can make audience levels
unpredictable. Nonetheless, television time buying is probably the most
sophisticatedsystemofmassmediaadvertisingbuying,theworldover.
Before leaving television, two myths need to be dispelled. First, it is widely
believed that the advent of the Internet has resulted in television viewership
falling. There is no evidence of this happening; on the contrary, though
fragmentation has meant that each individual channel’s viewership has fallen,
totaltelevisionviewing–intermsofnumberofhoursperweek–continuesto
increase, steadily if slowly. Second, it is widely believed that the advent of
Video-on-Demand, and the use of zappers, results in people zapping through
commercials,totheadvertisers’disadvantage.Again,theevidenceshowsthisto
betheoppositeofthetruth–partlybecauseV-o-Dencouragespeopletowatch
moretelevision,andpartlybecauseonlyatinyminorityofviewerszapthrough
commercials,andthenonlyoccasionally.Despitetheincreasingcompetitionin
allmedia,thefutureoftelevisionadvertisingseemsassured.
Minormedia
Ascanbeseenfromthetableonpage47,excludingtheInternet,theremaining
media–directmail,radio,outdoorandtransport,andcinema–accountforjust
21%oftotal advertising expenditurebetween them, andsowe must dealwith
them quite briefly. This is not to minimize their effectiveness as advertising
mediaformany products, and formanytargetmarkets.Indeed, their strengths
oftenlieintheirspecificity.Buttheygenerallylackthemassimpactofthemore
majoradvertisingmedia,whichiswhytheytendtocarrylessadvertising.
Directmail
Withits12%shareoftotalexpenditure,directmailiscurrentlythefourthlargest
advertisingmediumin theUK.(It isamuch largeradvertising mediumin the
USA, mainly because of the dearth of strong national daily newspapers there.
The mail is an inexpensive means of distributing advertising messages
throughoutthevastterrain.)
BeforethearrivaloftheInternet,directmailwasthesolemeansofidentifying
individuals personally, and usually by name – and it remains a most effective
‘personal’ medium.Thisoften makes itpossible to communicate with specific
target markets with great accuracy. Over the years, advertisers and companies
thatspecializeinprovidingdirectmail‘lists’havebuiltupindividualizedlistsof
the users of many products. While a small proportion of the public complains
about what they call ‘junk mail’, the reality is that the vast majority of the
populationacceptitwithoutobjection,andoftenrespondtoit.
This is known, and can be evaluated, because direct mail is one of the most
measurablemedia.Becauseitissopersonalized,theresponsetomostmailings
canbe,andis,exactlyquantified.Costsandresultscanbecompared,andcost-
effective mailings can thus be virtually guaranteed to produce profitable
businessfortheadvertiser,whichhappensinnoothermedium–except,aswe
shallsee,theInternet.
Outdoorandtransport
Most peoplearesurprisedto learn that this sector –billboards,posters, public
transport advertising, and the like – is as small as it is, with only 5% of total
expenditure.Thepublicfeelsitseesadvertisinghoardingseverywhere–andthis
is true in the centres of most towns. But elsewhere there are relatively few
hoardings, not least because the placement of outdoor advertising is strictly
controlledbylocalauthorities.
Posterscanbeplacedwithprecisionlocally,andsoarefrequentlyusedbylocal
(rather than national) advertisers. Throughout history, posters have given
designers and writers theopportunitytobe wonderfully creative, and many of
thecampaignswhichpeoplerememberforyearsstartlifeonthehoardings.But
sincethearrivalofcommercialtelevisionover50yearsago,outdooradvertising
hascometobeseen,unfairly,asa‘support’medium,aremindermedium,andis
nowonlyoccasionallyusedastheprincipalmediumforamajornewcampaign
orproduct.
10.Mostpeoplearesurprisedbillboardsandpostershaveonlyasmall
shareoftheadvertisingmarket
Radio
Radio too tends to be seen as a support or reminder medium. Being another
broadcast medium, it is also often seen, again unfairly, as ‘cheap television’.
Thisiswrongbecause–althoughradioiscertainlyamuchcheaperadvertising
medium than television – it is not truly comparable. Television is
quintessentially a visual medium: above all, people remember, and are
influencedby,whattheysee.Bydefinition,radioisnotvisual,andsorequiresa
completely different creative approach, based on words and sounds. But used
imaginatively,wordsandsoundscanproduceextremelyeffectiveadvertising.
Radioaudiencesarealsofarsmallerthantelevisionaudiences,andmuchmore
locallyfocused.Soradiocan,likeposters(andcinema),beusedtogreateffect
bylocaladvertisers.
Cinema
Cinemaisalsofrequentlyusedasasupportmedium,another‘differentformof
television’.Butcinema’sgreatstrengthisthatitsaudiencestendtoberelatively
young–andmanyadvertisersseeyoungconsumersastheirprimetargetmarket.
Because cinema campaigns are generally aimed at the young, many cinema
commercials are quite unlike television commercials, with film sequences
specificallycreated withtheyoung inmind(which sometimesbafflethe older
membersoftheaudience).
TheInternet
Thoughstillthoughtofasbeingverynew,intheUKtheInternetfirstsurfaced
asanadvertisingmediumin1997,whenitwasregisteredascarrying£8million
worthofadvertising.Inthatsameyear,Internetadvertisementswereforthefirst
time judged separately at Britain’s leading creative awards competition.
However, in Britain, as everywhere else, the Internet’s growth since then has
beenstartling,withadvertisingrevenueleapingfromthe£8millionin1997to
more than £34 million in 2009 – 24% of total expenditure and still climbing
rapidly.MostInternetadvertisingisforproductsandbrandsforwhichcustomers
wantquitedetailedinformation:finance,telecommunications,computers,travel,
automobiles, industrial goods, and entertainment are the top seven Internet
advertisingsectors.Inexpensivebrandedconsumergoodsaccountforonlysome
5%ofInternetadvertising.
Inpart,thisisbecausetheInternethasbecometheprimeinteractivemedium.It
allows, indeed encourages, customers to respond to advertisements by way of
chatroomsandotheronlinediscussionforums,sothatadvertisersandcustomers
engagedirectlyindialoguewitheachother.Internetenthusiastsoftenclaimthat
thisinteractivityisrevolutionizingmarketing,asadvertisersandtheircustomers
buildincreasinglycloserelationships. Thereisa smidgeon oftruthin this, but
traditional retailers have always been close to their customers – after all, the
customers personally visit their shops – and anyway, the vast majority of
customersdonotrespondtoadvertisersviatheInternet,nordotheywishto.
However, online behaviours and interactivity differ greatly between different
socioeconomicgroups.ConsequentlytheInternetishighlyeffectivefortargeting
defined demographic groups, both by special interests and activities, and at
differenttimesduringthedayandnight.Forexample,onlinebehaviourdiffers
markedlyaccordingtoage,sex,andclass.Urbanprofessionalsaged20–34rely
ontheInternetheavilyfortheirwork,andforplanningtheirsociallives.Women
aged 35–44 with families, in contrast, use it to manage the home, and for
hobbiesandotherinterests.Moreover,Internetuserscanbeidentified,andtheir
purchasingandothercharacteristicscanberelateddirectlytothem,bymeansof
the memories (‘cookies’) in their computers. This makes Internet targeting far
moreprecisethanthatforanyothermedium.
We have now explored all the major advertising media in the UK – and thus,
indirectly,intheworld.Thoughtherelativesizeandimportanceofeachmedium
willchangefromcountrytocountry,ashasbeensaid,thefundamentalsremain
constant. The fundamentals are determined by the technical nature of each
medium,andthehumannatureofconsumers.Thesedonotchange.
Chapter5
Thecreativeagencies:creatingnew
campaigns
WesawinChapter2thatsincetheendofthe20thcenturyadvertisingagencies
have become increasingly specialized. Before then, agencies provided their
clientswithawiderangeofvariedmarketingservices.Fromthe1970sonwards,
withthebreakdownofthe15%commissionsystem,agenciesbegantofocuson
theirtwocorecompetencies:creatingadvertisementsandbuyingmedia. These
two distinct activities soon came to be carried out by different specialist
companies:creativeagenciesandmediaagencies.Thisorganizationalstructure
still pertains today, and so we will consider each of the two specializations
separately,inthisandthenextchapter,startingwithcreativeagencies.
Firststepsincreativity
Most people think advertisements are dreamed up when ‘creative people’ are
told ‘We need a new campaign for Boggins beer – get your skates on and be
quickaboutit!’Afterwhichacreativepersonputsanicepackonhisorherhead,
sits in a dark room for a few hours until inspiration hits them, and then
animatedlyannounces‘I’vegotit!–“There’sNoBetterBeerthanBoggins!”’
Well,notquite.Whilethesittingandthinkingisroughlyakintoakeypartofthe
process,therestofthatlittlescenarioisillusoryinthreeessentialways.First,as
hasalreadybeenstated,thecreativepeoplewillnotstartworkwithoutawritten,
detailedadvertisingstrategywhichhasbeenagreedbytheirclient,Boggins,and
bytheagency’sseniormanagement.Second,creativepeoplealmostneverwork
individuallynowadays,theyalwaysworkincopy/artteamsoftwopeople.Third,
at this initial stage the copy/art team will almost always have several ideas
(usuallycalledconcepts’)whichtheywillwanttodiscusswiththeircolleagues
beforerefiningoneortwoofthem(andtheywillrarelyarriveattheseconcepts
injustafewhours).
Aswasdetailedatthebeginningofthisbook,theadvertisingstrategydocument
willincludethecampaign’sobjective(s);factsaboutthebrandwhichshowthe
objectives to be realistic; the brand’s competitors, with details of their
advertising and marketing campaigns; a summary of any relevant market
research – saying why consumers use the brand, and why they do not; the
message the campaign must communicate, and the tone in which it must be
communicated;whichmediaarelikelytobeusedforthecampaign;thebudgets
available both for the preparation of the advertisements and for the media
campaign;atimescaleforboththepreparationoftheadvertisementsandforthe
durationofthemediacampaign;anyotherdetailsfelttobeespeciallyimportant
inthisinstance;and,particularly,thetargetmarketatwhichthecampaignwill
aim.
The creative team will need and want to know all this information. They will
need to know the media likely to be used, so they don’t create print
advertisements when a television commercial is required. They will need to
know the budget available, so they don’t create advertisements which simply
cannotbeafforded.Theywillneedtoknowhowlongtheyhavetopreparethe
campaign.Theywillneedtoknowthetargetmarketatwhichthecampaignwill
aim, so they can keep it in their mind’s eye all the time – and avoid creating
messages suitable for impecunious teenagers when a campaign aimed at the
affluent elderly is required. But for them, the absolutely vital part of the
advertisingstrategywillbe:themessagethecampaignmustcommunicate,and
thetoneinwhichitmustbecommunicated.
Oneofthemostdifficultlessonsadvertisingcreativepeople–andadvertisers
havetolearnisthatthemessagesyouputintoadvertisementsarebutthemeans
toanend.Theendiswhatthetargetmarketmakesofthemessages.Itisnotthe
messagesyouputintoanadvertisementthatmatter,itisthemessagesthetarget
markettakesawayfromtheadvertisementthatmatter.Mostnovitiateadvertisers
andcreativepeoplebelievethatifyousaysomethinginanadvertisement,thisis
whatpeoplewilltakefromit.Maybe,maybenot.Justasitiseasyforpeopleto
misunderstandwhattheyaretoldinconversation,itisdoublyeasyforthemto
misunderstand what they see and hear in advertisements. They generally pay
little attention to advertisements, picking up only the broadest outline; they
frequently focus on aspects of advertisements that were included only as
unimportant props; they often forget most of the content of an advertisement,
rememberingonlythebitsthatgrabbedthem.Soitisessentialnottoovercrowd
advertisementswithtoomuchinformation,afailingofmanyadvertisers.Often,
people can remembertheadvertisementbut not remember which brand it was
for.Forallthesereasons,thebriefforthe‘messagethatmustbecommunicated’,
as defined in the advertising strategy, must be short, simple, unequivocal, and
clear.Andanyideasthecreativeteamcomeupwithmustbecheckedrigorously
againstthisbrief.
But the message in an advertisement does not include only the words and
pictures used. It includes the way they are used. The tone, the style, the
personality of the advertisement. Exactly the same words, spoken in different
tones of voice or set in different typefaces, will convey totally different
messages.Hereisasimpleexample.Apartyinvitationintraditionalembossed
copperplate lettering on deckle-edged heavy card will lead the recipient to
expect a totally different kind of party from an invitation – using exactly the
samewords –setinghoulish,haunted-house lettering,printedinbloodredon
glitteringfoil.Themessagewillbepreciselythesame:pleasecometomyparty.
Butthetone,thestyle,thepersonalityofeachwillpromiseanutterlydifferent
event.Inconsequence,eachwillappealtocompletelydifferenttypesofpeople,
differenttargetmarkets–andturnothersoff.Thesameistrueofadvertisements.
Theactors,themodels,thetypefaces,thedesign,theprops–everydetailofthe
advertisement will contribute to its tone. And its tone must be calculated to
appeal to its target market, otherwise the effectiveness of the message will
inevitably be impaired. Consequently, advertising creative people must be
exceptionallysensitivetothenuancesofcurrentstyles,currentfashions,current
vernacularlanguage.Naturally,thetypefaces,thedesign–andeventhemodels
andpropschosen–willprincipallybetheprovinceofanartdirectorratherthan
a copywriter (though both will have their say); and the language will be
principally the province of the copywriter rather than the art director (though
again both will have their say). This is one of the reasons why advertising
creativepeoplenowadaysalwaysworkinteamsoftwo:copyandarttogether.
Butthiswasnotalwaysthecase.Untilroughlythemiddleofthe20thcentury,
all over the world, new advertisements were normally created by copywriters,
workingalone–ratherliketheBogginsbeercopywriterinthescenarioabove.
Thecopywriterwouldindeedputametaphoricalice-packonhishead,andcome
upwiththewordsandmaybearoughideafortheillustration.He–itwasalmost
always a ‘he’ in those days – would then send his words and idea to a
‘visualizer’, somebody paid to visualize the copywriters thoughts. The
visualizers worked in a different department, often nowhere near the
copywriters. The visualizers would be typographers, or sometimes graphic
designers. But in this hierarchy the copywriter was top dog. The visualizer
broughtthecopywritersideatolife–butitwasstillthecopywritersidea.All
thisroughlymadesense,becauseprintadvertising,thenmuchthelargestsector
ofadvertising,wasprimarilyverbal.Thewordswereall-important.
Then came television. Television is essentially a visual medium – or a
visual/verbalmedium.TelevisionadvertisingbeganintheUSAinthe1930s,and
by the 1940s American agencies were questioning the ‘lone copywriter
approach to creativity. One agency in particular pioneered the copy/art team
approach to creativity. This was a New York agency called Doyle Dane
Bernbach (DDB). In the 1950s, DDB quickly built a reputation as the most
highlycreativeagencyaround,firstinAmericaandthenthroughouttheworld.
DDBfamouslyrecruitedsomeofthemosttalentedcreativepeopleinAmerican
advertising. And the copy/art team philosophy was central to its creativity,
becausethismassivelyraisedthestatusofthe‘art’person–nowgiventhetitle
‘art director’. No longer did the visualizer simply interpret the copywriters
ideas:thecopy/artteamworkedtogether,fromthestart.
Nordidtheteamworksolelyontelevisionadvertising.Itwassoondiscovered
that copy/art teams enhanced creativity in all media. And as the number and
different types of media have burgeoned, this union of talents has grown ever
more essential.Today almostalladvertising campaigns have to besufficiently
adaptable to work in a host of media, from television to in-store shelf-cards,
from posterstotheInternet. Whatever the medium, thecopywriterand the art
director create ideas together, in tandem, each bringing their own different
training and talents to the process. And advertisements have proved all the
strongerforit.DDB’searlycampaigns–forVolkswagen,forELAL,forAvis
carrentals,andagalaxyofothers–quicklybecamefamousaroundtheglobe.A
newkindofadvertisinghadbeenborn,inwhichadvertisementconceptsliterally
fusedwordsandvisuals.AdvertisersflockedtoDDB,anditsbusinessgrewlike
wildfire.
Partly because commercial television did not start in Britain until 1955, and
partly because the British advertising bosses were reluctant to adopt a new
creativesystemtheythoughttobedangerouslyradicalandexpensive–thenew
‘artdirectors’demandedfarhighersalariesthanthevisualizershadbeenpaid
the copy/art team approach did not cross the Atlantic until the early 1960s. It
started at what was to become Britain’s own leader in creativity, the agency
Collett Dickensen Pearce (CDP). CDP had a close working relationship with
DDB,andsoknewallaboutitscreative‘team’system.CDP,likeDDBbeforeit,
quicklygainedaworldwidereputationforoutstandingcreativity.Itscampaigns
forBensonandHedges,Heineken,Hamletcigars,andmanyothersscoopedup
awardsatalltheworld’sleadingcreativefestivals.Duringthe1960sandearly
1970s,thesetwoagenciesdominatedworldadvertisingcreativity.
11.BillBernbach,whobuiltDDBNewYorkintotheworld’smosthighly
creativeagencyinthe1960s
12.DDB’sVWcampaignquicklybecamefamousaroundtheglobefor
itscreativity
Todayvirtuallyalladvertisingcreativity,ineveryleadingagencyintheworld,is
producedbycopy/artteams.Generally,thecopywriterandtheartdirectorforma
long-termrelationship,andmovetogetherfromagencytoagencywheneverthey
change jobs. Obviously, as in all relationships, they occasionally split up and
findnew partners.Butsuch splitsare surprisinglyrare.Creativepeoplefind it
difficult to discover a mate with whom they can work well – and having
discoveredone,theytryhardtokeeptheirrelationshipalive.
How long will it takeacreativeteamto come up with a new campaign idea?
Well,howlongisapieceofstring?Anideamaycomealmostinstantly,ormay
take weeks in gestation. Will the team come up with just one idea, or with
several, for further consideration? There can be no single answer to this.
Sometimes the teamhasanideaitis absolutely sure is absolutely right. More
often,theteamwillhave afewideas,allof whichitfeels couldbedeveloped
with further time and thought. The team will then want to involve others in
assessingthequalityofitsvariousideas.Itwilldiscussthemwithothercreative
colleagues, and at this point account planning – which we left at the end of
Chapter1–mayre-enterthecreativeprocess.Butbeforeweinvolveourselves
furtherinthisprocess,itwillbehelpful,indeednecessary,toexplorethenature
of creativity, and of the creative people upon whom so much in advertising
depends.
13.CDP’sHeinekencampaignscoopedupinternationalcreativeawards
Thenatureofcreativity
What is creativity? Even more than any of the other definitions we have
considered,creativityisimpossibletodefinewithanyaccuracy–thoughmany
people have tried, and you will find many definitions in dictionaries. It is
sometimessaidthat,althoughitcannotbedefined,itcaneasilyberecognized.
Likelotsofotherthingssaidaboutcreativity,thisisahalf-truth.Yes,creativity
can be recognized, but different people recognize different things as being
creative. As we all know, most people at first rejected the Impressionists’
paintings as not being art, while today they are accepted as being among the
greatest works of art in history. The same has been true in music, and in
literature.Andithassometimeshappenedinadvertising.
Theconceptofcreation–makingsomethingoutofnothing,bringingthingsinto
existenceforthefirsttime–hasfascinatedandperplexedhumanitythroughout
theages.Almostthroughouthistoryitwasgenerallyacceptedthatcreativity‘just
happens’.Ideasfloat into themindof their ownaccord, unpredictably, andno
further explanation is possible. The most common cartoon depiction of this
phenomenonisofanelectricbulbsuddenlylightingup,fornoexplicitreason,in
thebrain.Butthisisaltogethertoosimpleaviewofcreativity.
First,itsuggestsideascomeaboutwithoutpriorcogitation.Butitwouldbehard
to find a great creative thinker who did not say ideas are the result of long
cogitation. Sir Isaac Newton did not simply discover gravity when he saw an
apple falling, as the famous anecdote claims. He had been thinking about the
natureofgravityforyears.Indeed,whenaskedhowhecamebyhisdiscoveries,
Newton replied ‘By always thinking about them’. Yes, new ideas do come to
highlycreativepeople‘outoftheblue’.Buttheycomebecausecreativepeople
constantlyseekthem,bothconsciouslyandsubconsciously.
Second,thelightbulbimagesuggeststhatideasarrivefullyformedinthebrain.
Thisseldomhappens.AlbertEinsteintookatleast10years,betweentheagesof
16 and 26, to develop his theory of relativity. Most creativity involves the
development and execution of original insights. Pablo Picasso constantly
changed and transformed his mural masterpiece Guernica as he painted it.
Professor Robert Weisberg, who has written extensively about this, defines
creativity as incremental in nature, and that is an excellent way to think of it.
One of the incidental benefits of the copy/art team system is that both
individualschallengeandincrementallyimproveeachothersconcepts.
These factors are crucial to any consideration of advertising creativity. When
theyreceivetheadvertisingstrategy,thecreativepeoplewillstarttothinkabout
–tocogitateabout–howtocommunicatethecampaignmessage,inawaythat
willarrestand interestthetargetmarket. Theywillbesearchingfor arelevant
idea that is innovative and impactful, one that has never been used before in
advertising.Itisusuallyeasy tofind innovativeandoriginalideasthat arenot
relevant,butthoseideasare.…well,irrelevant.Arelevantideamayormaynot
arrivequitequickly.Butthenitwillneedtobedeveloped,incrementally,inall
its aspects. Almost always, the initial idea will need to be chiselled, moulded,
honed – particularly for use in different media. This takes time. But creative
people in advertising know that time is not infinitely available. There is a
commercialimperative,a deadline to bemet.If a new campaign isneededby
next Thursday, the creative team will need to have a new campaign ready by
nextThursday.Thiscanbeexceedinglystressful.Fewpeoplerealizethemental
agonies advertising creative people undergo as the days pass, and the new
campaigndoesnotmaterialize.Everydaythatpassesmeansthereisonelessday
still available. But 9 times out of 10 – maybe 99 times out of 100 – they
eventuallymakethedeadline.Iftheyfailtoooften,theywillfindthemselvesno
longerworkingasadvertisingcreativepeople.
Thenatureofcreativepeople
Advertising creative people are notoriously egotistic, volatile, and irascible. If
youhappentofindyourselfinanybarorpubfrequentedbyadvertisingpeople
inLondon,NewYork,oranyoftheworld’sotheradvertisingcapitals,youcan
safely bet that you willsoonhearstoriesofpunch-ups, of chairs being hurled
across rooms, of computer keyboards being thrown out of windows when
creative people fight about their advertising ideas. Almost all these stories are
mythical,buttheyreflectadvertisingpeople’sownimage–initswayglamorous
–ofadvertisingcreativepeople.
Likewise, if you start any broad discussion about the nature and behaviour of
creative people in society, you can safely bet that within a few minutes
somebodywillmentionVincentVanGoghorPaulGauguin,orboth.Why?Not
becausetheyaretypical;theywerenotatalltypical.Nootherartistshaveended
up with amputated ears, few have fled from civilization to live among native
peoples on the far side of the world. But once again, Van Gogh and Gauguin
epitomize our romantic image of artists: headstrong egotists, often mentally
unbalanced.Therealityisentirelydifferent.Thevastmajorityofartists–andof
advertising creative people – lead exceptionally hardworking, relatively
conventionallives.
Nonetheless,itistruethathighlycreativepeoplearedifferentfromtherestofus
in certain specific ways. Over recent years, a good deal of research has been
carried out into these differences by psychologists, and more recently by
neuroscientists. Their findings show that creative people do tend to be more
introspective, more self-sufficient, experimental, and nonconformist. However,
innostudyhavethedifferencesbetweencreativepeopleandothersbeenvast.If
you draw a spectrum, with conformity at one end and non-conformity at the
other,creativepeople,onaverage,willveertowardsnon-conformity.Onlyafew,
likeVanGoghandGauguin(andEinstein,whowasdecidedlyeccentric),willbe
far out on the extreme edge. As Professor Michael Badawy, at the Virginia
PolytechnicInstitute,putit:
Creativityislike height,weightand strength.Peoplevaryconsiderablyin
thesedimensions,but everybodyhassomeheight, someweightand some
strength.Likewise,thereisa certainamountofcreativityin allof us,but
someofusareobviouslyalotmorecreativethanothers.
There is yet another vital way in which creative people differ from others.
Creativepeople areobsessiveabouttheiroutput. Theywish, andexpect,tobe
judged by their output rather than by their personal behaviour. This was well
expressedbythepsychologistDrAnthonyStorr:
Thework,ratherthantheperson,becomesthefocusofself-esteem.Tocare
moreaboutone’sbookorone’spaintingthanonedoesaboutoneselfwill
seemstrangetothosewhoaresureenoughofthemselvestobethemselves
in social relations. But if a book or a painting contains more of the real
person than is ever shown in ordinary life, it is not surprising that the
producerishyper-sensitive.
Howdoallthesefactorsimpingeoncreativepeopleinadvertising?Well,they
knowtheyare,andfeeltheyare,differentfromothers.Theyworkunderoften
intense psychological pressure. And they care obsessively about their output,
whichmeanstheyusuallytakecriticismbadly.Takentogether,thesefactorsdo
tendtomakethemegotistical,volatile,andquicktoanger.Suchbehavioursmay
notbejustifiable,buttheyareunderstandable–andmustbeunderstoodbythose
whowanttoworkwiththem,successfully.
Managingcreativepeople
Untilthe1970s,creativepeopleinagencieswere‘managed’bytheagencies’top
executives, through their own department head, the creative director. Creative
directorsweresometimesverypowerful,buttheyseldom,ifever,rantheshop.
Thiswastheprovinceofthebusinessmenwhoownedandbuilttheagency.Such
businessmenmightbesympathetictocreativity,aswasJohnPearce,theguiding
lightatCDP.Ortheymight,morecommonly,seecreativepeopleasanecessary
evil:creativepeoplewereessential,buthadfartoohighanopinionoftheirown
contribution,andthisfuelledtheirintolerableegotismandvolatility.Thisviewis
reflected in the quotation from John Hobson in Chapter 1. (Research studies
amongadvertisingcreativepeopleconfirmthatmostofthembelieveitistheir
output, the advertisements, which the rest of agency live off, and that top
managementshavelittleappreciationofthisbasicfact.Anoldadvertisingquip
runs‘Creativepeopleinagenciesarealwayscoveredinlovebites.Self-inflicted,
ofcourse.’)
Hence there was continuous strife between agency managements and their
creativedepartments.ShortlyafterIstartedworkinginadvertising,thechairman
of one of Britain’s most successful agencies publicly declared that it was his
ambition‘Tobreakthestrangleholdofthecreativepeopleontheproductionof
advertising’. But with the growth of television advertising, and the creative
revolutionledinAmericabyDDBandinLondonbyCDP,muchofthepowerin
agenciesmoved fromthebusiness managersto thetopcreativepeople.At the
veryminimum,theyreachedparity.Andinthe1960sand1970s,manyagencies,
particularlyinthe USA,werefoundedby,oraround, topcreativepeople.This
wasanewphenomenon.
It became apparent that the division between agency managements and the
newlyenfranchisedcreativedepartmentshadtobebridged,andthiswaspartof
thegenesisof accountplanning (page 14). The ingenuity of account planning
was that the new account planners had twin (or even triple) loyalties. They
worked closely with, and often represented, the creative people; they worked
closely with, and often represented, the account handlers; (and they worked
closelywith,and often represented, withinthe agency, the clients).They were
abletohandlethisapparentconflictofloyaltiesbecause,aboveall,theyworked
closelywithand alwaysrepresentedthe opinionsand wishesofconsumers, of
thetarget market.As market researchdeveloped, fromthe1970s onwards,the
voice of the consumer was increasingly heard in advertising. In agencies, the
account planners were at the epicentre of this development. They carried out,
eitherthemselvesorthroughspecialistresearchcompanies,allthetestingofnew
creative concepts. This gave them enormous influence. Nobody in advertising
can ever totally ignore the opinions of the consumer, of the target market.
Consumer research into advertisements, to return to John Hobson’s quotation,
hadbeencarriedoutpreviously.Butthishadbeendoneinaconfrontationalway.
Theagencymanagerscheckedoutthecreativepeople’sideas,thenreturnedto
thecreativepeoplewiththeresearchfindingsandtoldthemwhattodo.Account
planning does not work like that: the creative people are integrated into the
process.Thiswasamajorstepforward.
It must not be thought, however, that every shred of friction between creative
peopleandagencymanagementswasthuseliminatedatonefellswoop.Notall
account planners are brilliant diplomats; not all creative people can accept
criticism, even when it is put to them diplomatically. Recent studies among
creative people, around the world, show that many remain suspicious of the
influence of research on their creativity. Theyfearthatthepublicrejectstruly
innovative concepts – the story of the Impressionists again – and that it is
essentialtotakemarketresearchamongthepublicwithseverallargepinchesof
salt. This is true. But all the best creative people acknowledge that account
planningcanhelpthemimprovetheiroutput–incrementally,attheveryleast.
Accountmanagement
Hadthisbookbeenwrittenbeforecreativeandmediaagenciesbrokeapart,and
before account planning took hold, the opening section of this chapter would
doubtless have been devoted to account managers: the people who are
responsiblefortheliaisonbetweenclientsandagencies.
Differentagencieshavedifferentnamesforthosewhohandlecontactwiththeir
clients on a day-to-day basis: account managers, account executives, account
supervisors, and others. Above these in the agency hierarchy are account
directors,clientservicedirectors,orsimplyboarddirectors.AndinAmericathe
title president or vice-president is often used. Whatever the nomenclature, the
job specificationsremain the same. Account managersrepresentthe agency to
theclient,and the clientto the agency.Ata less seniorlevel,they handleand
progressthe day-to-dayworktheagencycarries outforitsclients.At asenior
level,theirroleismorestrategic,andtheaccountdirectorensurestheclientis
content(hopefullymorethancontent)withtheservicetheagencyisproviding,
and that the agency’s plans and campaigns are all going in the right strategic
direction.
Moreover,in earliertimes,thediversevariety ofwork carriedoutbyagencies
meanttheaccountmanagerworkedwiththeclientonamultiplicityofmarketing
services, and was expected to oversee all of them. This meant the account
managerworkedcloselywithmanyoftheclient’smarketingpersonnelandgot
toknowthemandtheirbusinessexceedinglywell,ineveryaspect.Nobodyelse
in the agency knew a fraction as much about the client’s business as the
appointed account manager. So good account managers were very powerful.
Theywerethelynchpinsoftheagencyorganization.Theycould,andfrequently
did,taketheirclientswiththemwhentheyswitchedjobs.
Today things are not quite the same. Yes, account managers are still highly
important. They are still responsible for supervising and coordinating all the
worktheagencydoesfortheirclients.Buttheworktheagencydoesisrelatively
specific. The agency creates new campaigns, carries out the account planning
relevanttothosecampaigns,andliaiseswiththeclient’smediaagency.Account
managers orchestrate these activities. But account planners, too, develop close
relationshipswithclients.Sodocreativepeople.Soaccountmanagershavefar
less personal control than they did. Moreover, clients work with a raft of
different marketing services companies, and their personal relationships with
each of them tend to be less close than they were with the multifaceted full-
serviceagenciesofthepast.Strongaccountmangersdostill,occasionally,take
theirclientswiththemwhentheyswitchjobs,butinlargeagenciesthishappens
rarely.Becauseinadditiontoallthefactorslistedabove,mostmajorclientsare
nowhandledinternationally.
Internationaladvertising
Naturally,advertisinghasnotbeenimmunetotheglobalizationofworldtrade.
Far from it. Most global companies are also global advertisers. International
cosmetics,perfume,andfashioncompanieshavebeenrunningglobalcampaigns
– mostly in top-class fashion magazines – since the 1930s. But the rush into
globaladvertisingbymassconsumergoodscompaniesdidnotreallygetgoing
untiltheendofthe20thcentury.Andevennow,therealityisthattherearevery
fewcampaignsthatareliterallyglobal.Mostaremultinational–thatis,theyrun
in many countries, but in many others, local laws, local customs, and local
competitorsforcevariationsfromglobaluniformity.
In a shrinking world, the commercial benefits of global – or anyway
multinational – advertising are indisputable. Central control of campaigns is
easier. Internationaltravellers seethesame campaigneverywhere,instead ofa
mish-mash of different campaigns in different countries. As national cultures
become more homogeneous, campaigns that succeed in one country usually
succeedinothers.Thetransferenceofsuchknowledgefromcountrytocountry
isoneofmultinationalcompanies’keycommercialstrengths.Andglobalization
meanscreative costscan beamortized–thoughthesavingsfromamortization
aregenerallyfarlessthannovitiateglobaladvertisersexpect.
Butwhilethebenefitsareclear,themechanicsarecomplicated.Theworldisnot
nearlyashomogeneousastheprotagonistsofglobalizationliketoclaim.Almost
everything changes as you move from country to country: landscape,
architecture,language,laws,traditions,people’sphysiognomyandclothes,and
oftentheproductformulationanditspackaging.Advertisementscanbe,andare,
made to skirt around these differences, but many end up fairly bland in
consequence. Hence the creation of truly effective multinational campaigns
demandsagreatdealofinter-countrydiscussionandcoordination.
Whetherornottheircampaignsarehomogeneousthroughouttheworld,global
advertisersusuallyseek tousethe samecreativeagencythroughouttheworld.
Eveniftheadvertisementsmustvarybycountry,fortheclientthereisagreat
benefitinhavingasingleagencythatcancoordinateitsadvertisingeverywhere.
Consequently, all the largest agencies have structured themselves to handle
internationalclients.Theyappointglobalclientservicedirectors(whatevertheir
exact title), who are responsible for the way the agency services the clients
acrosstheworld.Globalclientservicedirectorsliveinaeroplanes(andinluxury
hotels), and wield considerable power – similar to the power of the account
managerintheold,full-serviceagency.Nobodyelseinanagencyknowsnearly
asmuchaboutaclientanditsinternationaloperationsastheglobalclientservice
director.Andtheworldwideturnoverandprofitofasingleglobalclientmayfar
exceed the turnover and profit of the entire local agency in some, smaller
countries.
To handle their global clients, agencies have therefore developed matrix
management to a high level of sophistication. Both local and international
managers have interwoven and overlapping responsibilities for services and
profitability.Itisacomplexnewgame,callingforcloseteamwork.Butagencies
arerapidlylearningtogetgoodatit:theyhaveto.
Specialistagencies
Most of this chapter has concerned general, rather than specialist, creative
agencies. This is because the larger creative agencies, both nationally and
internationally,areallgeneralists.Thatis,theyhandletheadvertisingneedsof
clientsin almosteverymanufacturingandservicesector.Theywillinglydoso
because,first,clientsseldomallowtheiragencytohandletheadvertisingoftheir
competitors. An agency can work for, say, only one automobile client, one
petfoodclient,onetoiletriesclient,andsoon.Soifanagencywantstobuildup
itsbusiness,itcannotaffordtospecializeinasinglemarketsector.Second,most
agency people enjoy working for clients in different sectors. They find it
stimulating, and they transfer the knowledge they acquire from one sector to
another.(Thisisoneofthekeyreasonswhyadvertisersaregenerallyunableto
createtheirownin-houseagencies–thoughmanyhavetried.)
However, there are a small number of specialist agencies that handle certain
classes of business. Specialist agencies handle cinema advertising, theatre
advertising,recruitmentadvertising,directresponsecouponadvertising(off-the-
page),pharmaceuticalcompanyadvertising,andtechnicalfinancialadvertising.
In these areas, clients are seldom concerned about their agency handling
competitors’ campaigns. They are more concerned that the agency should be
conversant with their particular commercial needs, and with any legal
requirements that apply specifically to their sector – and generalist agencies
seldomare.
Additionally,asnotedonpage29,inrecentyearsagroupofcreativeagencies
has emerged which specialize in Internet and other digital advertising. These
agencies are usually subject to the same constraints regarding the handling of
directly competitive clients as general agencies are – but clients interpret the
constraints more leniently, as the digital agency sector is still relatively small,
andtheskillsinvolvedarerelativelyscarce.Itiswidelyagreedthatthecreative
skillsinvolvedin developingadigitalcampaignaredifferentfrom, butsimilar
to, the creative skills employed in other media. An article in the authoritative
InternationalJournalofAdvertisingin2009listed‘TheSixPrinciplesofDigital
Advertising’as:
1) Advertisers must be sensitive to consumer concerns about privacy and
spam.
2)Consumersaremorelikelytobereceptivetodigitaladsfromadvertisers
theytrust.
3)Consumersaremorelikelytorespondtodigitaladsforproductsthatare
relevanttothem.
4) Digital approaches that incorporate interactivity are more likely to be
effective.
5) Inthedigital context advertisingmessages that are entertaininghave a
higherchanceofsuccess.
6)Inthelongrun,digitalmessagesneedtobuildthebrandtobeeffective.
Severaloftheseprinciplesapplyacrossallmedia(principles2,3,and6–andto
some extent 5). The others are clearly specific to digital advertising. It is this
overlap which has made it unclear whether, in the long term, digital agencies
will be merged into general agencies or will continue to plough their own
furrow.Onthisquestion,thejuryisstillout.
The creative agencies have now created the advertisements. Let us go on to
explore how the media agencies will buy the space and time in which the
advertisementswillappear.
Chapter6
Themediaagencies:spendingtheclients’
money
In neither Britain nor the USA was the bisection and compartmentalization of
creativeandmedia-buyingservicesuniversallywelcomedbyeveryoneworking
inadvertising;norwasitentirelylogical.Whilethesplitwasinprogress,many
argued – some still argue – that selecting the media and creating the
advertisements are intrinsically part of the same process: the process of
producingacost-effectiveadvertisingcampaign.Theycomplainedthatthesplit
would resultineachtype of agency focusing myopically ontheirown narrow
specialism and failing to see the bigger campaign picture. Though advertisers,
andagencymanagements,have workedhardto minimizethismyopia,thereis
somejusticeinthecomplaint.Creativeandmediaagenciesseldomcommunicate
asthoroughlyastheyshould,andseldomfullyappreciateeachotherspointof
view. As things currently stand, however, the trend to specialization which
caused the split seems irreversible. The separation of creative and media
agenciesseemsheretostay.
It is undeniably true that the personalities and talents of the individuals who
workineachtypeofagencyaresodifferentastobealmostantipathetic,andit
was this antipathy which, in part, led to the rift. Yes, both are called upon to
think innovatively. But people in media agencies tend to be far less volatile,
egotistic, and intuitive, far more grounded, numerical, and process-driven.
Thoughtheydonotneedtobemastersofdifferentialcalculus,andfeware,the
successful individuals in media agencies have an instinctive feel for figures
andtheyneedit,because theyspendagreatdeal ofeachdayporingover and
analysingcomputerdata.Poringoverandanalysingcomputerdataisanathema
tomostcreativepeople.
Fishwherethefishare–atthelowestpossiblecost
Thesimplestwaytodefine theroleof themediaagencyisto takeananalogy
fromfishing.Themediaagencymusthelpadvertisersfishwherethefishare–at
thelowestpossiblecost.‘Fishwherethefishare’isamaximwhichappliestoall
areas of marketing, not merely advertising. The ‘fish’, in the analogy, are the
target market. It is common sense for fishermen to fish where the fish are; a
fishermanwouldgetnowherefishingwherenofisharetobefound.Likewise,
marketerswillgetnowhereadvertisinginmediawherenoneofthetargetmarket
willseetheadvertisements.
But the analogy goes deeper. Before deciding where they are going to fish,
fishermenmusttakeintoaccountthecost.Itwillgenerallycostananglermore
togowherethereisanabundanceoffishtobecaught,especiallyifthefishare
ofaparticularlyhighquality;similarly,atrawlercaptainwillcarefullyassessthe
costofsailinganydistancetofind alargeshoaloffish, inordertoensurethe
trawlisprofitable.
Findingthebestplacetofindthefish–whichequalsidentifyingthebestmedia
in which to find the target market – is the first, strategic role of the media
agency.Ensuringthatthefishingisthenascheapaspossibleisthesecondrole
ofthemediaagency.
Inamediaagency,thesetworolesarecalledplanningandbuying.Theformeris
thestrategicrole,thelattercallsforgreatnegotiatingskill.Althoughmediarates
andpricesare published,the costsofbuying campaignsarehighly negotiable.
But the two roles are not quite as separate as they may sound: planning and
buyingmustbeweldedtogether.Anegotiatedpricewillonlybeabargainifit
meets the strategy of the campaign. Buying cheap space simply because it is
cheapispatentlyawasteofmoney.(Itistheequivalentofpayingnothingtofish
inaplacewheretherearenofish!)Sonotallmediaagenciesseparatethetwo
roles.Somemediaagenciesemployindividualscalled‘planner/buyers’whodo
bothjobs,othersdivideplannersfrombuyers,thoughthetwoindividualsmust
work closely together. Naturally, the different agencies which follow the two
differentstructuralroutesareallconvincedtheirrouteisthebestone.
Whateveritsinternalstructure,thestrategicfirstroleofthemediaagencywillbe
toselectandrecommendwhichbroadmediasectororsectorsshouldbeusedto
reach the target market: newspapers, magazines, television, radio, direct mail,
postersandtransport, cinema–ortheInternet.Ora combinationofseveralof
these. The media agency will reach this decision in collaboration with the
advertiser, and usually with the creative agency too. The advertising strategy
document will, as always, play a key role. The advertising strategy will have
definedthekeyobjectivesofthecampaign.Thebroadmediaselectionwillthen
seek to meet these objectives, and as we shall see, it will be based on three
fundamental factors: the budget available, the technical nature of the medium,
andthemedium’scoverageofthetargetmarket.
Once the medium, or the combination of media, has been chosen, the media
agencywillrefineitsrecommendationsfurther.Itwillselectandrecommendthe
precisedetailsofhow,where,andwhenthecampaignshouldappear,withinthe
chosenmedia.Thesedecisionswillagainbediscussedwiththeadvertiser,and
possiblywiththecreativeagency,butthisistheprimaryterritoryofthemedia
agency.Planningandimplementingthedetailedplacingofthecampaignarethe
mediaagency’skeyexpertise.
Selectingthemedium
Asstatedabove,thethreefundamentalfactorsinvolvedinselectingwhichmedia
sector to use for a campaign – the budget, the nature of the medium, and the
coverage of the target market – interact. All three must be taken into account
whenacampaignisbeingplanned.Therearenoprizesforgettingtworightif
thethirdiswrong:youwillnotachievetwo-thirdsofthehoped-forresults–you
willbeluckytogetanyresultsatall.
Thebudget
Manifestly, the size of theavailablebudget will be aprimefactor in choosing
whichmediumtouse.However,nowadaysallmediasectorsarehighlydiverse,
whichmeanstheyarehighlyflexible.Foranygivencampaign,itispossibleto
buylargeadvertisementsorsmallones,tobuymanyadvertisementsorfew,to
buyadvertisementsthatwillreachlargenumbersofpeopleorsmallnumbersof
people. In every case, the price of the advertisements, and thus of the total
campaign,willvary.Asinmostpurchasingsituations,biggerbuyersgetquantity
discounts,eveniftheexactnatureofsuchdiscountsmaynotalwaysbereadily
apparent.(Forexample,thecostpersecondfora30-secondspotischeaperthan
thecostpersecondfora15-secondspot,astelevisioncompaniesprefertosell
longerspots–butanovicebuyermaynotnoticethis.)
Sothereisnofixedentrypriceforanyonemedium.Todaytherearesomany
media, and so many advertisers, that media prices reflect supply and demand
veryprecisely:in economic terms,the market foradvertisingis a freemarket,
open and highly competitive. By buying selectively, and knowledgeably, an
advertisercan makea smallbudgetgoalongway– withthe aid,that is,of a
topnotch media agency. Nonetheless, it is unwise to try and stretch a small
budgettoofar.Theavailablebudgetmightbesufficienttobuy,say,onewhole
pageinamass-circulationnationalnewspaper.Butifso,thatwouldseldombe
thebestwaytospendthemoney.Innormalcircumstances,formostcampaigns,
more and smaller advertisements in that same newspaper, or more large
advertisements in newspapers with smaller circulations, would both be better
options.(Butiftheadvertisingstrategycalledformaximumimpactonasingle
day,thewholepageinthemass-circulationnewspapermightbetherightthingto
do.)
Televisionisagoodexampleofhowallthisworks.Overall,nationaltelevision
is the most expensive medium. But there are now many specialist television
stations with relatively small audiences, where advertising spots are relatively
cheap.Youpayforwhatyouget:thesmallertheaudience,thelowertheprice.
Likewise, spots can be bought quite cheaply on even the largest television
stationswhenaudiencesaresmall:inthemiddleofthenight,say.Onceagain,
the smaller the audience, the lower the price. Consequently, many advertisers
with fairly small budgets exploit the lower prices available from the cheaper
television stations, and the cheaper times – while advertisers selling mass
consumergoodsneedtoreachmassaudiences,andsothereislittlepointinthem
buyingspots thatareseenbyonly afew people.Thesesameprinciplesapply,
suitablyadapted,acrossallmedia.
Thenatureofthemedium
For advertising, every media sector has, by its very nature, certain inherent
characteristics.Mostoftheseareplaincommonsense.Television,cinema,and
the Internet have sound, vision, and movement. Radio has only sound.
Newspapersandmagazinesprovidespaceforlongcopy,whichpeoplecanread
attheirleisure,andtheyarehighlyportable.Postershavetheimpactofsize,and
can be sited near retailers where customers make their purchases. Direct mail
andemailscanbehighlypersonalized.
Despitethewelterofmarketresearchthatisnowadaysavailable,noneofthese
characteristicscanbeexactlyquantifiedinfinancialterms.However,thevarying
characteristics provide varying advantages for different kinds of product. The
skill, fortheadvertiserand their media and creativeagencies,lies in selecting
themediumwhichismostappropriate–thatis,likelytobemostpersuasive
fortheproductorservicebeingadvertised.Someproductsdemandthekindof
explanation that only printed copy can provide; some products need to
emphasize their appetite appeal, using high-quality colour photography or
cinematography; some products can be perfectly well advertised using sound
alone;someproductsbenefitfromthepersonalfeelofaletter.Usingthenature
ofamediumtoitsfulladvantagewillmaximizetheeffectivenessofacampaign
– and often make a limited budget punch well above its weight. It is always
‘horsesforcourses’.
Coverageofthetargetmarket
Without further belabouring the ‘fish where the fish are’ analogy, this is the
absolutely key factor in choosing the right medium. If the medium does not
reachthepeoplewhomaymakeapurchase,theadvertisingistotallywasted.It
might be thought that the ‘safe’ way to avoid such a danger is to advertise in
media which reach, as near as possible, 100% of the national population: if
everybody in the country sees the campaign, then the target market will, by
definition, have been reached. Very nearly 100% of the population can be
reached by television, by a blanket national press or poster campaign, or by a
blanketnationaldirectmailcampaignofthekindthegovernmentemployswhen
wishing to communicate with the entire country. However, this ‘safe’ route
ignores the second part of the ‘fish’ analogy. Taking this route will almost
invariably be unnecessarily expensive. It is therefore unlikely to be the most
cost-effective route possible. In reaching 100% or thereabouts, the advertiser
willinevitablybepayingforadvertisingthatwillreachahugenumberofpeople
whowillnot make a purchase. Inotherwords, the campaign will waste afair
proportionoftheavailablebudget.
Tospendthebudgetascost-effectivelyaspossible,andthusreachthefishatthe
lowestpossiblecost,thetargetmarketwillneedtobedefinedwithconsiderable
accuracy, and this group will then need to be correlated with its media usage.
Marketresearch surveyssuchas theTargetGroup Indexwill bean invaluable
toolincorrelatingthecoverageofthetargetmarketachievedbydifferentmedia
sectors.Andoftentheadvertiserwillthendecidethatthecostofreachingclose
to100%ofthetargetmarketistoohigh–thatitismorecost-effectivetoachieve
alowercoverage,morecheaply.(Togoforfewerfish,atfarlessexpense.)The
media agency will be able to provide the advertiser with a chart showing the
incrementalcostsofreaching,forexample,60%/70%/80%/90%…ofthe
targetmarket.Theadvertiserwillthenbeabletomakeaninformedjudgement
regardingthelevelofcoveragetobeaimedfor,atanacceptablecost.
Having selected the basic media sector, or sectors, the media agency will get
downtoplanningthedetailofthecampaign.
Size,frequency,andtiming
Toalargeextent,theprincipalexpertiseofamediaagencyistochoosebetween
trade-offs. Once the size of the budget has been set, and the selection of the
mediasector(s)tobeusedhasbeendetermined,themediaagencymustsliceup
theavailablemoneyinthemostcost-effectivewaybetweenthekeymedia.
Iftheadvertisersbudgetwereinfinite,unlimited,thenthemediaagencywould
beabletoachieve100%coverageofthetargetmarket,withhugeadvertisements
andlengthycommercials,whichwouldappearconstantly,withoutcease.Butno
budget, of any kind, is ever infinite or unlimited. This unrealistic picture of a
fairy-talecampaignhighlightstheneedforthetrade-offs.Themediaagencyhas
to recommend, as we have seen, what percentage of the target market it is
economicaltoreach–andthenhowbigtheadvertisementsshouldbe,howoften
theyshouldappear,andhowlongthecampaignshouldrun.
Again,allthesefactorsinteract.Ifbiggeradvertisementsorlongercommercials
are used, this will mean they must appear less frequently. Similarly, if it is
necessary for the campaign to run for an extended period of time, it will be
necessary for the advertisements to be smaller (or shorter), or to appear less
frequently–orpossiblyboth.Whenacampaignisbeingplanned,thereareno
preciserightandwronganswerstomostofthesequestions.Butagoodmedia
agency,employingacombinationofnumericalanalysisandpastexperience,will
be able to offer the advertiser clear guidelines. The question of the
advertisement’ssize(orduration)willneedtobediscussedandagreedwithboth
the creative agency and the advertiser; the frequency and duration of the
campaignwillmainlybediscussedandagreedwiththeadvertiser–thoughthe
creativeagencywillbekept‘intheloop’.
The size of the advertisement will be determined by the extent to which the
awarenessandimpactarekeyobjectiveswithintheadvertisingstrategy.Thisis
truerofprintedandoutdoormediathanofbroadcastmedia.Thepublicnaturally
spots thesizeofaprinted advertisement, or a poster, but ismuchlessacutely
awareofthelengthofatelevisionorradiocommercial.Generally,thelargera
printadvertisement,thegreaterthenumberofpeoplewhowillnoticeit.Andata
subconscious level, the public realizes that a larger advertisement is probably
about something ‘important’. So larger advertisements achieve high awareness
andhighimpact.
Butsometimes,surprisingly,thesefactorsarerelativelyunimportant.Perhapsthe
product is only used by a small number of people, a small target market. In
certain circumstances – remembering there are advertisements which look for
people,andadvertisementswhichpeoplelookfor–smalleradvertisementscan
be far more cost-effective than larger ones. If you are advertising a cough
medicine, for example, you only really want the advertisement to be seen by
peoplesufferingfromacough.Soasmalladvertisementwiththeheadline‘Bad
Cough?’willflagdownpeoplesuffering–andtheyaretheprecisetargetmarket.
Similar criteria apply with regard to timing and frequency. Most people plan
theirsummerholidaysinthedepthsofwinter–soholidaycompaniesadvertise
heavilyaroundChristmasand the New Year. Mostnewcarsare bought in the
spring and early summer, so automobile advertisers focus on those months.
Fashions change in the spring and autumn, so that is when new styles will be
advertised, while of coursecoughsandcoldsaremorelikely in the winter, so
thatiswhentheirmedicinecampaignsappear.Manyoftheproductspeoplebuy
are seasonal – but many are not. In these cases, advertisers may aim to boost
sales by running campaigns when their competitors are not doing so. Or they
maygoforshort,sharpcampaignsofhighfrequencytodominatethemarketfor
aspecificperiod.(ProcterandGamble,theworld’slargestadvertiser,isagreat
believer in short, sharp, intense bursts of advertising.) In making all these
decisions,themediaagencywillbegreatlyinfluencedbypastexperience.They
willknowaboutcampaignsthathavebeenruninpastyears,andhowlongthey
have lasted. Likemilitarystrategists,they will aim constantly to surprise their
clients’competitorsbyout-manoeuvringthem.
Just as the creative agency will constantly be looking for innovative and
impactfulwaystocommunicatetheadvertisingmessages,themediaagencywill
constantlybelookingforinnovativeandimpactfulwaystospendtheavailable
budget–solongasitreachestherightfish,atthelowestpossiblecost.
Internetanddigital
As was emphasized in Chapter 2, digital advertising has been enjoying rapid
growththroughouttheworld.Sofar,thisgrowthhasalmostentirelyinvolvedthe
Internet,ratherthantelephony.Aswithcreativeagencies,mediaagencieshave
split into generalists – agencies that handle the entire range of available
advertising media; and digital specialists, which focus exclusively on digital
media.Atthemoment,thegreaterpartofInternetadvertisingishandledbythe
generalistagencies,but,asinthecreativesphere,thissituationisfluidandcould
easilychangeoverthecomingyears.
Whethergeneralistorspecialist,mediaagencieshavetobeconversantwiththe
quitedifferenttypesofadvertisingthatappearontheInternet,ofwhichthethree
mostimportantare:
• Display advertising – banners, pop-ups, sponsorships, and other
‘intrusive’communicationswhichworkinmuchthesamewayandwith
the same objectives as all display advertising. They aim to bring the
brandtothe attentionofthetargetmarketbybuildingawareness– and
sometimes, but not always, they offer the opportunity to click through
from the advertisement to the advertisers website. Display advertising
accountsforaround20%ofallInternetadvertisingrevenue.
• Search advertising – ‘search’ is the great strength of the Internet, and
accountsforapproximately60%ofallInternetadvertisingrevenue(the
remaining percentage of Internet advertising is accounted for by
recruitment classifieds). It is most similar to, in traditional advertising,
directoryandclassifiedadvertising.Butitsspeedandcomprehensiveness
areuniquetotheInternet.Searchcompanies–suchasGoogle,Yahoo!,
andMSN–carryadvertisers’announcementsinlistingswhichencourage
peopletoclick-throughtotheadvertiserswebsitetofindoutmore,and
often to buy what they want, directly, online. The position of the
advertisers listing on the screen will hugely influence the response it
achieves. Research has shown that the first announcements seen by
anyonesearching,orsurfing,theInternetgather thegreatestnumber of
click-throughs. Advertisers therefore pay the search companies a
premiumtobeatthetop,ornearthetop,oftheirlistings.
• Websites – websites are most similar, in terms of traditional media, to
leaflets,brochures,andcatalogues. As with ‘search’, theusertakes the
initiativeandseeksoutthewebsite,eitherviaasearchlistingordirectly
viaitsdomainname.Thesituationiscomplicatedbythefactthatnotall
websites are commercial. Many individuals, and many groups, design
andbuildtheirownwebsites.Thereisnochargeforthis,beyondthecost
ofbuildingandregisteringthesite.The‘cost’ofwebsitesisthereforenot
included in Internet advertising expenditure data. Major advertisers,
especiallyretailers,selldirectlyfromtheirwebsites,makingwebsitesan
exceptionallycost-efficientwaytoobtainsales.
AstheInternetcontinuestodevelop,newmeansofadvertising–viablogsand
social networking sites, for example – continuously come on stream, though
mostofthemfindithardtocaptureasmuchadvertisingrevenueastheyhoped
for.
Like television, the Internet is highly effective for targeting different
demographicgroups,byspecialinterests,activities,andatdifferenttimesduring
thedayandnight.Internetuserscanbeidentified,andtheirpurchasingandother
characteristics can be related directly to them. This makes personal Internet
targetingfarmoreaccuratethananyother.
DisplayadvertisingontheInternetischargedandpaidforinmuchthesameway
as display advertising in other media. The rate paid by the advertiser is
determinedbythesizeandnatureoftheaudiencereached,andbythesizeand
nature of the advertisement itself. And as has already been noted, there is no
‘mediacharge’forpostingawebsite.
‘Search’advertising,however,hasdevelopeditsownuniquemeansofcharging:
payperclick.Howmuchtheadvertiserpaysthesearchcompanyforappearing
onitssitewilldependonpreciselyhowmanytimesInternetusersclick-through
fromthelistingtotheadvertiserswebsite.Thismeansthattheadvertiserscost
willbedirectlyrelatedtothenumberofvisitorsthewebsitereceives,andalmost
certainly will then be related, albeit less directly, to sales achieved. This close
relationship makes the evaluation of Internet search advertising more
quantifiablethanmostotherformsofadvertising–thoughnomorequantifiable
thantraditionaldirectmail.
The campaign is now ready to ‘go to bed’. The creative work has been
completedbythecreativeagency,themediahavebeenchosenandboughtbythe
mediaagency.Theadvertiserhasapprovedtheentirepackage,andthestarting
gunis atthe ready. Throughoutthe developmentprocess,marketresearchwill
have been used – and it will continue to be used to check the progress of the
campaignonceitislaunched.Letusnowlookathowmarketresearchfitsinto
thepicture.
Chapter7
Research,research,research
Earlydays
Advertisingcanbesoexpensive,socomplex,andtheresultssounpredictable,
thatadvertisershavelongsoughttoformulateruleswhich,likescientificlaws,
will guarantee results. They have hoped there might be a Golden Key, as
mentioned at the start of this book, which would unlock the secret of sales
success.Inphysics,scientistsknowthatiftheydoA,thenBwillfollow;ifthey
do Y, then Z will follow. Might there be some way of achieving the same in
advertising? Over 100 years ago there was already a seat of Advertising
PsychologyatNorth-WesternUniversity,Chicago.TheProfessorofAdvertising
Psychology, Professor Walter Dill Scott, addressed the advertising industry
AgateClubin1901onthesubject:‘ThePsychologyofInvoluntaryAttentionas
AppliedtoAdvertising’,andin1909hepublishedabooktitledThePsychology
ofAdvertising.Thiswasthefirstofcountlessstudiesthathaveaimedtoshow,in
psychologicalterms,exactlyhowadvertisingworks.
Some14yearslater,in1923,stillsearchingfortheelusiveGoldenKey,oneof
the greatest American advertising copywriters of all time, Claude Hopkins,
published a book called Scientific Advertising. To today’s generation of
advertisingpeople,thenotionthatanyonecouldhaveclaimedtoturnadvertising
intoasciencenearlyacenturyagoismorethanatrifleludicrous.Nonetheless,
Hopkins’sbookbecame–andstillis–aclassic.Hopkinsspecializedindirect
response,couponadvertising,wheretheresultsofadvertisementscanbeexactly
measuredby countingthecouponssentin.Usingthe couponresponse datahe
acquired over many decades, he developed rules for writing successful
advertisements, and many of his rules remain true today – for coupon
advertisements. But they do not necessarily hold true for uncouponed
advertisements for branded goods; and of course, radio, television, and many
othermodernadvertisingmediadidnotevenexistin1923.However,theattempt
to turn advertising into a science did not cease. But as worldwide advertising
expenditures fell during the 1930s Great Depression, and during and after the
SecondWorldWar,therewasalullinactivity.
Bythe early1950s,advertisinghadstartedtoboomagain. IntheUSA,anew
movementthatbelievedithadfoundtheGoldenKeyemergedinNewYorkand
Chicago.Thiswascalledmotivationresearch,sometimescalleddepthresearch,
anditwaslooselybasedonFreudianpsychoanalytictheory.Itsthesiswasthat
consumers’buyingbehaviourwasmoreoftenemotionalthanrational,andwas
influenced–indeedcontrolled–bypeople’ssubconsciousdesires.Theresearch
technique employed trained psychologists or psychotherapists to carry out
lengthy, one-to-one interviews with consumers, probing their subconscious
mindsinmuchthesamewayaswouldbedoneinclinicalanalysis.Theseone-
to-ones were, and still are, called ‘depth interviews’. Two highly competitive
meneachclaimedtobethe‘fatherofthistypeofresearch:DrErnestDichter
(muchthemorefamous)andLouisCheskin.Bothhadtrainedaspsychologists
and had psychoanalytic experience, and both claimed to have started
experimentingwiththeuseofdepthprobingsinthe1930s,eventhoughtheydid
notcometotheforeuntiltwodecadeslater.
Motivationresearchisthesubjectofwhatisstillthebest-knownandbest-selling
bookaboutadvertisingeverwritten:TheHiddenPersuaders,byVancePackard
(1957). In this book, Dichter, Cheskin, and others make impressive claims
regarding the powers of their research techniques. Dr Dichter, for example,
claimsthatsuccessfuladvertising:
manipulateshumanmotivationsanddesiresanddevelopsaneedforgoodswith
whichthepublichasatonetimebeenunfamiliar–perhapsevenundesirousof
purchasing.
Healsoclaims:‘Weundresspeopleintermsoftheirrationalisations.’
Suchclaimscausedgreatconcerntomanymembersofthepublic,whodidnot
liketheideaoftheirrationalizationsbeing‘undressed’,northeirmotivationsand
desiresbeingpsychologicallymanipulated.Itmadethemsoundlikepuppetson
advertising strings. And this was the scary theme of Vance Packard’s book,
whichmadeitsuchasalessuccess.Thiswastheerawhen‘brainwashing’was
muchtalkedabout,largelyasaconsequenceoftheshowtrialsinthecommunist
USSR,wherethoseaccusedwere‘brainwashed’intoparrotingtheirconfessions
robotically. Or so it was believed. The American Central Intelligence Agency
(CIA)wasneuroticallyobsessedabouttheputativeabilityofcommunistregimes
to exert mind control. (The classic brainwashing movie, The Manchurian
Candidate,wasmadein1962.)Butthepowertocontrolpeople’sbrains,inthe
waysmanythenfeared,hasneverexisted–andithascertainlyneverexistedin
advertising. It must never be forgotten that the claims of researchers – and
indeedofadvertisingpeoplethemselves–areoftenboastfulandself-serving.It
is in their financial interests to convince advertisers that their researches, and
theiradvertising,areexceptionallypotent.Thiswaytheywinmoreclients,and
the clients spend more money on advertising. So their claims should be taken
with sizable pinches of salt: they are frequently exaggerated, and sometimes
downrightuntruthful.
Thiswasunquestionablysointhecaseofwhatbecame,andremains,oneofthe
mostnotoriouspiecesof‘research’inadvertisinghistory.In1957,anAmerican
market researcher called James Vicary claimed to have substantially increased
the sales of Coca-Cola and popcorn in a cinema in Fort Lee, New Jersey, by
flashing the messages ‘Drink Coca-Cola’ and ‘Eat Popcorn’ on the cinema
screensoquickly theaudiencedidnotconsciouslyseethe messagesatall.He
dubbedthisprocess‘subliminaladvertising’–fromtheLatinsub(beneath)and
limen (sensory perception). Vicary’s findings immediately aroused a welter of
publicdisquiet. Vance Packardpublicized theVicary experimentin thesecond
editionofTheHiddenPersuaders.Peopleeverywheregrewprofoundlyalarmed
about being manipulated by subliminal advertising without knowing it was
happening.InBritain,subliminaladvertisingwasalmostimmediatelybannedby
thetelevisionauthorities.ButVicaryhadneverpersuadedanyone,subliminally,
tobuyCoca-Colaandpopcorn.In1962,headmittedthewholethinghadbeena
hoax,andnobodyhaseverbeenabletoreplicatetheexperimentheclaimedto
have carried out. Subliminal advertising, which people still talk about and
agonize about, has never existed. (Recent studies have shown that subliminal
communications of various kinds can occur, but there is no proof they can be
usedinadvertising.)
Nonetheless, the phrases ‘hidden persuaders’ and ‘subliminal advertising’
enteredthevernacular,andbecamecommonusage.Somuchsothatthetitleof
the next highly questionable investigation into the powers of advertising was
SubliminalSeduction,abookpublishedin1975byProfessorWilsonBryanKey
of the University of Western Ontario. Subliminal Seduction, like The Hidden
Persuaders before it, became a best-seller by playing on the public’s fear of
beingmanipulatedby‘secret’advertisingmessages–thoughitwasnotnearlyas
successfulasitspredecessor.
ProfessorKeybelievedthatmessagespromisingsexualsuccesswereencrypted
– he used the word ‘embedded’ – in advertisements. He claimed that these
embeddings, like subliminal advertising (which had already been disproved),
were not seen consciously but nonetheless controlled consumers’ behaviour.
ProfessorKeyclaimed:
14.JamesVicary:his1957experimentwith‘subliminaladvertising’in
NewJerseywasahoax
Everymajoradvertisingagencyhasatleastoneembeddingtechnicianinits
artdepartment.Thetechniqueistaughtatmostcommercialartschools.
This is codswallop. There is not, and never has been, any such thing as an
‘embeddingtechnician’inanadvertisingagency.Butonceagain,thebeliefthat
all,ormost,advertisingworksbypromisingsexualsuccesshasstuck.Countless
media articles and debates are built on the belief that sex constantly perks up
advertising,andthatsexwillsellanything:sexisthelong-searched-forGolden
Key.Thisiscodswalloptoo.Thereisalmostnosexinadvertising,thoughmost
people refuse to believe it. There are sexy advertisements for perfumes and
cosmetics,forfashionandlingerie–allproductswherealittleeroticismhardly
comesamiss.Mildly sexy advertisementsforother products come andgo,but
whenanicecream(Haagen-Dazs)hadthetemeritytouseplayfulbutinnocuous
sexyimagesinitsBritishcampaign,theattendantflurryofnudge-nudge,wink-
wink publicity beggared belief. This would never have happened if raunchy
advertisingwerecommonplace.Itwouldbeastonishingifsexwerecompletely
absentfromadvertisements.Butaretheresexyadvertisementsforsupermarkets,
forhouseholdcleansers,formedicines,forfinancialproducts?Hardlyever.
Thepublicinsisttheydonotlikesexdraggedintocampaignsirrelevantly,and
about one-fifth of the complaints to the UK Advertising Standards Authority
concern taste and decency. Moreover, nowadays more than 40% of consumer
spending is by the over-50s. They aren’t all celibate, but lust is perhaps not
uppermostintheirminds.Forallthesereasons,advertisementsveertowardsthe
primratherthantheprurient.Youwillneverseeremotelyexplicitsex,orfull-
frontalnudity,inadvertisementsintheUKorUSA.Comparedtothemediathat
surroundthem, advertisementsportray averitably sanitizedworld –unrealistic
inbeingfartooprudish,ratherthantoolicentious.
Theuniquesellingproposition
Almost all of the above theories came from people outside of advertising:
academics and researchers. But one of the most celebrated and influential
advertisingresearchprocessescamefromwithinanadvertisingagency–andit
helped build that agency into one of the largest in the world. The agency in
question was called after its founder, Ted Bates. The Ted Bates agency was
convinced it had found the elusive Golden Key. Starting in New York, Ted
Bates’s agency quickly built itself into a worldwide network. The advertising
process it developed is always known by its public ‘face’, the unique selling
proposition (USP). But in reality, the USP process is a complete campaign
developmentsystem,inwhichresearchplaysanintegralpart.
The USP system certainly starts out by stating that all advertising campaigns
should search for, and single-mindedly hammer home, the single fact about a
brandwhichdifferentiatesitfromitscompetitorsandwillmakepeoplebuy:the
USP.ButoncethisUSPhasbeenidentified,andincorporatedintoacampaign,
theresearch aspectsofthesystemkick in.When thecampaign isrunning,the
public’s awareness of the USP is tracked by research – a measurement we’ll
returntointhenextsection–andtwofiguresarecalculated:
1) The percentage of the public who buy the brand and who know the
advertisingUSP.
2) The percentage of the public who buy the brand but do not know the
advertisingUSP.
Thedifferencebetween(1)and(2)TedBatescalledusagepull’.Aslongas(1)
is larger than (2) – the agency claimed – the extent by which it was larger
representedtheadditionalpercentageofthepopulationtheUSPhadpersuaded
tobuythebrand.Thissoundslogical:ifmorepeoplewhoknowtheUSPbuythe
brand,presumablyitistheUSPthathaspersuadedthemtobuy.Andthegreater
thedifferencebetween(1)and(2),thegreaterthepoweroftheUSP.If(2)was
moreorlessthesameas(1),thentheUSPwasnotpersuadinganybodyextrato
buythebrand:theUSPwasunpersuasive.Andinthoseunusualcaseswhere(2)
was larger than (1) – where among those who knew the USP, fewer people
boughtthebrandthanthosewhodidnotknowit–theUSPwasactuallyputting
people off, the usage pull was negative. A campaign that did not demonstrate
sufficientlypositiveusagepullwoulditselfbepulledoffair.
TedBatesclaimedthatbyaccuratelyidentifyingUSPs,andthenmeasuringtheir
usagepull,theycouldsignificantlyincreaseadvertisingeffectiveness.Andfrom
theearly1940suntilthelate1960s,theBatesagencydevelopedandpublicized
this system with immense success. During those years, the agency did indeed
producesomehighlyeffectivecampaignsfortheirclients–particularlyforthe
MarsCorporation,formanyyearstheirlargestinternationalclient–andthisin
turnpersuadedmany more clientsto appoint them.TheUSP was Bates’s own
USP,anditsusagepullamongclientswasconsiderable.
However, over the decades, three changes occurred that seriously undermined
theUSPsystem.First,researchersshowedthatpeoplewhoregularlyuseabrand
–anybrand–arefarmorelikelytoknowitsadvertisingthanpeoplewhodonot
use it. This is called ‘feedback’. So usage pull was back-to-front. It isn’t
knowingtheadvertisingthatpersuadesyoutouseabrand:ifyouuseabrand,
youtendtoknowitsadvertising.Ortobestillmoreexact,boththingshappenat
once,andcausationeitherwayisimpossibletoprove.
Second, as economies grew more affluent, and more and more products came
onto the market, the functional differences between different brands often
becameimperceptible.Themaindifferenceswerebrandimagedifferences–the
publicperceivedthebrandsdifferently,sometimesknowingfullwelltheyhadall
butindistinguishableproductspecifications.Sobrandimageadvertisinggrewin
importance,andtheimportanceoftraditionalUSPadvertisingdwindled.
Third,andassociatedwiththis,theUSPsystemwashighlyverbal.AUSPmust
beafactexpressedinwords,sothatpeople’srecallofitiseasytoassess.But
conveyingbrandimagesmaybemorevisualthanverbal,andmanycommercials
may also employ powerful (wordless) music. As Dr Dichter had insisted,
consumers often buy products for emotional rather than rational reasons
reasonstheythemselvesmaynotbeabletoidentify,letaloneputintowords.
TheUSP system went outoffashion, and with itTed Bates’s own usagepull.
However,thebasicprincipleofidentifyingthesinglefactwhichdifferentiatesa
brandfromitscompetitors,whereonesuchfactcanbeidentified,remainsakey
factorinmostmodernadvertisingstrategies.
Researchtoday
Advertisingresearchtodayhasnaturallyabsorbedmuchofthishistoriclearning,
andhaslongagostoppedsearchingfor anover-archingGoldenKey.Research
todaydealswiththeseparatepartsoftheadvertisingprocessbitbybit,seeking
toimprovepotencyandeffectivenessincrementallyasthecampaigndevelops.It
isunlikelythatanybodynowworkinginadvertisingbelievestherewilleverbea
holistic,scientificthesiswhichwillguaranteetheeffectivenessofallcampaigns.
Everyonerecognizesthatadvertisingisfartoocomplex,andtooheterogeneous,
forthistobepossible.
The principal division in campaign research today is between pre-testing and
post-launch tracking. Most of the former is carried out under the aegis of the
creative agencies; most of the latter is carried out under the aegis of the
advertisers,employingtheirownchosenresearchcompanies.
Pre-testing
Aswehaveseen,acampaignstartstotakeshapewhenagencyaccountplanners
have drawn up an advertising strategy, and this has been agreed by their
colleagues and by their client. The strategy will include what the advertising
campaign must communicate, and to which target market. In the chapter on
agencies and creativity, we saw that account planners return to the campaign
developmentprocessoncethecreativeteamhascomeupwithitsinitialideas,or
concepts. At this stage, they test out the concepts on a sample of the target
market.
Thistestingisalmostalwayscarriedoutinfocusgroupsofeighttotenpeople,
though one-to-one interviews, of the kind pioneered by the motivation
researchers, may also occasionally be used. It is vitally important for the
interviewees–whetheringroupsorindividually–tobedrawnfrommembersof
thetargetmarket.Ifthewrongsampleisinterviewed,theresultswillnotonlybe
irrelevant, they may positively be misleading. To give a simple example: if
saloon car drivers are interviewed about a sports car advertisement, they are
likely to be highly concerned about the cars safety, and to want safety
informationhighlightedintheadvertising.Sportscardrivers,incontrast,willbe
relatively unconcerned about safety, but extremely interested in driving
performanceandhandling.Asthesalooncardriversaremostunlikelytobuythe
sportscar,incorporatingtheiropinionswillpositivelynegatetheeffectivenessof
thecampaign.Butsurprisingasitmayseem,suchmistakesarefrequentlymade.
Inafocusgroup,eighttotenpeoplearebroughttogether,andtheydiscussthe
creativeconceptsshowntothem,undertheguidanceofaskilledgroupleader
usuallyanexperiencedmarketresearcheroraccountplanner.Theadvantagesof
focusgroupsoverone-to-oneinterviewsarethreefold.Focusgroupsarefarless
expensive;theyarefaster–interviewingeighttotenpeopleatonceisinevitably
quicker to accomplish than interviewing them individually; and above all, the
groupmembersprovokereactionsfromeachotherinteractively,whichthegroup
leaderwillbeabletoencouragethemtoexploretogether.Thedisadvantagesof
focus groups are that the individuals will not have much time to express their
personal views; consequently, it is almost impossible to probe deeply into
individual responses; and shy individuals may get trampled upon by others
thoughexperiencedgroupleadersaimtoensurethisdoesnothappen.Ithasalso
been shown that even experienced group leaders tend to influence what the
respondentssay,tryastheymaytoavoiddoingso.(Thisalsooccursinone-to-
ones.)
Almost always, several focus groups will be carried out – relying on a single
groupisfartoochancy–andthepersonwhohashandledthemwillconsolidate
thefindings,listeningagainandagaintotaperecordingsofthediscussions,and
studying the responses carefully. He or she will then meet the creative team,
togetherwiththeaccountexecutive,andgothroughthefindings.Ifcertainofthe
findings are negative, the creative team will usually be able to amend the
advertisement concept so that it overcomes the target market’s concerns. But
sometimes this is not possible, and the idea or ideas have to be totally
abandoned. Then it is back to the drawing board! As has been said above,
creativeteamsdonotgenerallyliketheirworkbeingcriticizedandpickedapart
inthisway–andtheysometimesarguefiercelywiththeresearchfindings–but
intheend,theyhavetoacceptthesystem.
Onlywhenanadvertisementconcepthascomethroughthisprocesswithflying
colours will it be presented, together with the findings of the research, to the
client. The famous 1990s ‘Guinness Surfers’ commercial (loosely based on
Moby Dick) which in May 2000 was voted by the British public ‘The Best
BritishAdvertisementEverisafineexampleoftheaccountplanningprocessin
action. Account planners repeatedly researched it, and its future was often in
jeopardy until creative solutions could be found to the problems the research
uncovered.Thisalltookoverayear–buttheoutcomewasworthit.
Onthetrack
Trackingstudiesbeganinthe1950s,butdidnotbecomethedominantformof
post-launchcampaignevaluationuntilthe1990s.Astheirnameimplies,tracking
studiestracktheimpactofacampaignafterithasbegun,withregularsurveys.
The survey questions can cover many areas: respondents’ recall of the
advertising campaign, or of different parts of the campaign; respondents’
attitudestothecampaign – what they thought was good/bad,whatthey found
interesting/uninteresting, what they liked/disliked, what they found
persuasive/unpersuasive,andsoon.
Thetrackingsurveysmaybecarriedoutmonthly,bi-monthly,orquarterly.Less
frequent surveys hardly ‘track’ a campaign, but may be employed when the
campaign utilizes irregular bursts of advertising, as lightweight campaigns
frequentlydo.Itisvitalforeachsuccessivetrackingsurveytousepreciselythe
same questions as its predecessors, to be comparable, and each survey must
interviewexactly matched samplesof respondents. Eventhe tiniest changesin
question wording or in sample structure can produce wild and seemingly
inexplicablefluctuationsinresponselevels.Consistencyalsomakesitpossible
toaggregatenormativedata.Overtheyears,researchcompaniesandadvertisers
have learned what levels of response are averagely achievable, for any given
levelofadvertisingexpenditure,inanygivenmarket.
Generallyspeaking,thetracking data which carries mostweightis advertising
awareness: what percentage of the public remembers the advertising? The
presupposition is that consumers will not respond to advertising they cannot
remember. However, it has frequently beenshown that consumers may not be
influenced by advertising they do remember, while sometimes consumers are
influenced by advertising they do not remember, at least not consciously. So
advertising awareness is only an approximate, proxy guide to campaign
effectiveness, even though it is widely used as a useful, rough and ready,
assessment.
Noris‘awareness’asstraightforwardasitsounds.Aswesawinthesectionon
USPs,awarenessisstronglyinfluencedby‘feedback’.Hencemajorbrands,used
by large swathes of the population, tend automatically to achieve higher
awareness levels than smaller brands, used by minorities. And there are great
differences between spontaneous (or top-of-mind) awareness and prompted
awareness (‘Do you remember any advertising for chocolate?’ versus ‘Do you
remember this advertisement for Mars Bars?’). Verbal, factual messages are
easiertoremember,oranywayeasiertorelateduringresearchinterviews,than
visualoremotivemessages.Higherlevelsofawarenessareusuallygeneratedby
‘public’ media – television, print, posters, for example – than by ‘private’ and
tightlytargetedmedia(directmail,emails,andtextmessages,forexample).But
although tightly targeted media generate low awareness, they may be
exceptionally sales-effective among those to whom they have been personally
addressed.
Despite these caveats, many advertisers now set key performance indicators
(KPIs)based ontrackingresults.Forexample:‘TheKPI fortheadvertisingat
theendofthecampaignisanawarenesslevelofxx%,whichmustbeachieved–
orelse!’IfthecampaigndoesnotachievethetargetedKPI,itmaywellbepulled
off air: the advertiser may feel that continuing to run it would be a waste of
money. So agencies live in mortal fear that the next tracking result for a
campaign they have produced will be a poor one. This is not unwarranted:
agencieshavebeenfiredforconsistentlyachievingpoortrackingratings.
Fewexperiencedadvertisersbelievetrackingstudiesarethebe-allandend-allof
post-launchcampaignevaluation–buttheyhavebecomemuchthemostwidely
usedsystem.
Othertechniques
Thoughfocusgroups(pre-campaignlaunch) andtrackingstudies (post-launch)
havebecomethestandardmeansofadvertisingevaluation,researchersregularly
inventnewtechniques whichtheyhopewillbemoreaccurate,or moresubtle,
than these. Almost always, such new techniques are heavily publicized by the
researcherswhoinventthem,andgarneragreatdealofpublicityatfirst–then
fadeaway.
Inthe1960s,forexample,forashortwhilepupildilationbecameafashionable
measurement technique. Psychologists had shown that respondent’s pupils
unconsciouslydilatewhentheyareshownimagestheygreatlylike(anattractive
girlshowntoyoungmales,forexample),andtheirpupilsshrinkwhentheyare
shownimagestheydislike(prisonersinNaziconcentrationcamps,forexample).
The eyes can be photographed while they view the images, and the pupil
changesmeasured.Itwasthereforehypothesizedthatpupildilationwouldbea
good way of measuring people’s responses to advertisements. However, the
differencescausedbyadvertisementsarefarsmallerthanthosecausedbymore
extreme visuals – and anyway, during the transmission of a television
commercialpupilsize changesconstantly,especiallyin responsetolighter and
darkerimages.Sopupildilationfailedtocatchon.
Eye-tracking–followinghoweyes movewhen theylookatthings– hasbeen
used by psychologists in laboratories for around a century. But more recently
commercial use has been made of infra-red eye-tracking goggles, which are
portableandwhichshowpreciselyhowtheeyewanders.Thistechniquecanbe
helpfulinexploringthewayspeopleabsorbdifferentpartsofanadvertisement,
particularly a print advertisement. But it is no measurement of advertising
persuasiveness.
Otherdevicesthatcanbehelpfulincludetachistoscopes,whereanadvertisement
isrevealedforshorterandshorterintervalsandrespondentsareaskedwhatthey
cansee–ratherasinanoptician’seyetest.Sweatmeasurementisanindicatorof
involvementandexcitement.Interestdials,whererespondentstwistasmalldial
whilewatchingcommercialstoshowthepartsofthecommercialtheyfindordo
not find interesting, can reveal useful information. And most recently, brain
mapping,wherepeople’sbrainresponsesareMRI-scannedwhiletheyareshown
advertisements and – it is once again hoped – the scans will reveal their true,
unconscious responses. Some researchers hold out great hopes for MRI brain-
scanningtechniquesforthispurpose.Allthatcanbesaidatthemomentisthat
theyarealongwayoffproducinganyreallyusefuldata.
Chapter8
Thegood,thebad,andtheugly
‘Theall-deafeningblastofpuffery’
Perhapsbecauseitissointrusive,andperhapsbecausepeoplearesuspiciousof
its manipulative powers, advertising has long been subject to criticism,
antagonism, and fear – far more so in Britain than in the USA. The snooty
attitude of the British aristocracy, and of British intellectuals, to trade and
commerce of all kinds is of long standing, as is their distaste for selling and
salesmen.Theseattitudesaremuchlessprevalent(thoughnottotallyunknown)
ontheothersideoftheAtlantic.Aslongagoas1830,theBritishessayistand
historian Thomas Macaulay, decrying advertising, wrote: ‘We expect some
reserve,somedecent pride,in ourhatterand bootmaker.’ Notlongafterwards,
theScottishintellectualThomasCarlylewassimilarlysouraboutwhathecalled
‘theall-deafeningblastofpuffery’.Bytheendofthe19thcentury,aninfluential
pressure group called SCAPA (Society for Controlling Abuses of Public
Advertising)publishedamembershiplistthatincludedmanyofthemostnotable
writersandartistsoftheday.WilliamMorris,RudyardKipling,HolmanHunt,
SirArthur Quiller-Couch, andSir JohnMillais wereallSCAPAmembers.But
thepublicwasapathetic;500copiesofaSCAPApamphletwereprinted,only30
weresold.
This broad pattern of response to advertising has continued ever since. Many,
perhapsmost,writers,academics,andevenpoliticiansaretoagreaterorlesser
extentantagonistictoadvertising,ahostilitywhichthemassofthepublicdoes
notshare. However,theformergroupcontrols manyof thelevers ofpowerin
society. So, ever since the middle of the 19th century, advertising has been
increasinglyhedgedaboutbylawsandcontrols–probablymorethananyother
singletrade.
ThiswasspotlitwhencommercialtelevisioncametoBritainin1955.Whilethe
Bill that introduced commercial television was passing through the House of
Lords,LordReith,theintense,puritanScotwhowasthedrivingforcebehindthe
development of the BBC from 1922 to 1938, compared the introduction of
televisionadvertising with theintroduction into Britainof smallpox,theBlack
Death,andthebubonicplague.Othernoblelordsfeltsimilarly.LordHailsham
likened commercial television to ‘a Caliban emerging from his slimy cavern’.
Lord Esher forecast ‘a planned and premeditated orgy of vulgarity’. Most of
thesehorrificfearswerebasedonwhatmanyBritishintellectualsbelievedwas
the coarse and crass nature of American television. The public did not share
thesefears;theywelcomedcommercialtelevisionwithopenarms.
However, parliament exerted its austere powers. The Act that brought British
commercial television into being enshrined precepts which determinedly
differentiateditfromthedreadedAmericanmodel.Inparticular,advertisements
would havetobetotally separated from programmes – hencetheinvention of
the‘commercialbreak’–andthetotalquantity ofadvertisingpermittedwould
be strictly controlled(initiallyjust 6 minutes per hour). A statutory committee
wouldcontrolstandardsofadvertising,andthiscommitteewoulddrawupaset
of rules which would have to be precisely followed. British viewers, the
parliamentariansbelieved,neededtobeprotectedfromtheexcessesofAmerican
commercialization–andtheywere.BeforeacommercialcanbemadeinBritain,
thescripthastobeapproved,toensureitmeetstherequiredadvertisingrules.
After it has been filmed, it has to be approved again, to ensure the script has
beenrenderedaccurately,withnolibertiestaken.Theregulatorsinterpretation
of the advertising rules is meticulous, and both advertisers and agencies have
constantly railed against how unimaginatively the rules are applied. But the
parliamentaryAct, anditssuccessor Acts,insistthe rulesbe minutelyadhered
to.
TheAdvertisingStandardsAuthority
From its inception, then, television advertising in Britain was statutorily
controlled. But the situation in other media was very different. The press, in
particular,hadbattledhardforitsfreedomsduringthe18thand19thcenturies,
whenpoliticianshadconstantlytriedtohandcuffitandrestrictwhatitcouldsay.
While these battles primarily concerned editorial freedoms, they also involved
advertising freedoms. Advertisers were free to say what they liked, as long as
theydidnotbreakthelaw–anditisfairtosaythatmanylessthanscrupulous
advertiserspushedtheirfreedomtothelimit.Inthemid-19thcentury,advertisers
would promise to cure every malady known to mankind and quite a few that
werenot–suchas‘DEATHintheBoot,isthenewafflictionwithwhichallwho
wear footwear are threatened’ – safely cured, one is relieved to hear, by
‘O’Brien’s Patent Watertight Waist FootholdGolosh’. Nor were our American
cousinstobeoutdone.InNewYork,aDrScottinventedanextensiverangeof
‘electric’ products utilizing the almost magical power of the then recently
discoveredelectricity.Onewasan‘ElectricCigarette’.Anotherwas‘Dr.Scott’s
ElectricPlaster–ANEWINVENTION–electricallycuredColds,Coughsand
Chest Pains, Nervous, Muscular and Neuralgic pains, Stomach, Kidney and
Liver Pains, Dyspeptic, Malarial and other Pains, Rheumatism, Gout and
Inflammation’, all achieved ‘IN ONE TO THREE HOURS … if not entirely
satisfactory the price will be cheerfully refunded’. So the evidence is
unequivocal.Lefttotheirowndevices,advertiserswilleagerlypushtheirclaims
tothelimitoftruth–andsometimeswellbeyond.
15.Lefttotheirowndevices,advertiserswilleagerlypushtheirclaimsto
thelimitsoftruth,andoftenwellbeyond
Consequently, advertisers’freedoms couldnotremain whollyunconstrained.A
landmarkcaseoccurredin1891,whenaMrsCarlillboughta‘CarbolicSmoke
Bomb’whoseadvertisementguaranteedprotectionagainstinfluenza(andmany
otherillnesses),or£100reward.TheSmokeBombbombed.MrsCarlillcaught
the’flu,suedforher£100underCommonLaw,andwon.
The court viewed the advertisement as a contract. Thereafter, the UK Sale of
Goods Act was passed in 1893, which greatly increased consumers’ civil
remediesoverandabovethoseprovidedbytheCommonLaw.The20thcentury
sawacontinuingescalationofthelegalpowerofconsumers,againstadvertisers.
Formembersofthepublic,however,takingerrantadvertiserstocourtisatime-
consumingandcostlybusiness–andthereisnoguaranteethecomplainantwill
winthecase.Itquicklybecameapparentthatthepublicneededtobeprotected
by an advertising control system far less ponderous, and less expensive, than
solicitorsandcourts. EvenbeforetheSecondWorldWar,pressurebuiltupfor
theadvertisingindustrytoputitshouseinorder,andtoregulateitself.In1927,
the UK Advertising Association set up the first self-regulatory National
Vigilance Committee, which a year later was expanded into the Advertising
Investigation Department (AID). Though puny by today’s standards, the AID
helped drive shady operators out of business, persuaded agencies to stop
handling fraudulent advertisers’ campaigns, and dealt with 1,169 complaints
fromthepublicin12monthsduring1936–7.
AftertheSecondWorldWar,onceWesterneconomieswerethrivingagain,from
the 1960s onwards, consumerism – consumers lobbying for better trading
standards and for consumer protection – grew apace. In 1962, the first
Advertising Standards Authority (ASA) was set up to handle consumer
complaintsaboutadvertising.ButitsoonbecameclearthisASAwasatoothless
tiger. It was underfunded, and therefore understaffed, and its powers were
nominal.Justover a decade later, in1974,Britain found itself withasocialist
government led by left-wing Prime Minister Harold Wilson. Wilson scorned
advertising, believing it to be a waste of economic resources (as did many
economists at this time). In 1974, the advertising industry was warned by the
governmentthatifitdidnotcontrolnon-televisionadvertisingaseffectivelyas
televisionwasalreadycontrolled,newlawswouldbeenactedwhichwouldforce
ittodoso.Aswehaveseen,theprintmedia’sdislikeofgovernmentcontrolsis
burieddeepintheirDNA,sothisthreatspurredtheprintmedia,andadvertisers,
intoanimmediateresponse.
In 1975, a far larger, and far better funded, Advertising Standards Authority
openedforbusiness.Themoneywasraised–andisstillraised–bya0.1%levy
on all advertising expenditure, paid by advertisers and collected by their
agencies. Its independence from pressure by advertisers was built into its
fundamentalstructure.Incooperationwiththeadvertisingindustry,andwiththe
approval of the government, Codes of Advertising Practice were written, and
theseare regularlyupdated.It istheASAs roleto enforcetheseCodes, andit
was not long before the new ASA showed its claws, in a series of tough
decisions against misleading and dishonest advertisers. Public and political
respect for the ASA grew apace, and its powers have since been consistently
extended. In the early 1990s, direct mail and direct marketing were brought
undertheASAswing.In2004,televisionandradioadvertisingregulationwas
entrustedto it,acompletereversalof thesituationinearlieryears. Andtoday,
mostInternetadvertisingalsocomeswithinitscontrol.Alevyof0.1%doesnot
soundthatmuch–itisn’tthatmuch–butitraisesaround£10millionannually.
Consequently,theASAshighlytrainedstaffofmorethan100peopleisableto
dealwithover25,000publiccomplaintsagainstadvertisingeachyear–ofwhich
fewerthan10%normallyprovejustified.
TheASAisnowwidelyregardedasanexemplarofenlightenedself-regulation,
both in advertising and outside of advertising, in Britain and throughout the
world.
Brandsandbadhabits
Successful though it has been, the ASA deals only with individual
advertisements,onaone-by-onebasis,decidingwhethertheyinfringetheCodes
ofAdvertisingPractice.Thissystem,however,sidestepsquestionsrelatingtothe
advertisingofentireproductgroups:alcohol,forexample,orfastcars,orfatty
foods – or cigarettes. Consideration of the role of entire advertising sectors
remainstheresponsibilityofgovernments.
Fromtheearly1960sonwards,cigarettesweretheadvertisingcausecélèbreon
whichpolitical,medical,andpublicattentionfocused.Advertisingandsmoking
first became an issue in March 1962, when the Royal College of Physicians
publishedits‘SmokingandHealth’report.Twoyearslater,inJanuary1964,the
US Surgeon General published his own report on the connections between
smoking and health. Both reports established a close correlation between
smokingandseriousillnesses,especiallylungcancer,andbothcalledforaban
oncigaretteadvertisingtochildren.InBritain,thisresultedinacallforatotal
banontelevisionadvertising.Suchabanwouldbefairlyeasytoenactbecause
television advertising was statutorily controlled. A ban on advertising in other
media would need parliamentary legislation, which the government knew the
presswouldfighttooth-and-nail.Parliamentthereforebaulkedatthelatter,but
cigaretteadvertisingonUK television was stopped on 1 August1965.Atthat
time,the MinisterofHealthopinedin Parliament:‘Iratherdoubtwhetherthis
intensification of the campaign (against smoking) will result in any sudden or
dramatic drop in cigarette consumption.’ He was right: cigarette smoking
continuedtoriseinBritainuntilthemid-1970s.
Cigarettes were not the only goods, or services, banned from advertising on
television.Norwere they even,ascigarette advertisingprotagonistsfrequently
claimed,theonlygoodsbannedontelevisionwhichcouldbelegallyboughtand
sold. Breath-testingdevices,matrimonial agencies, fortune tellers, undertakers,
andeven(atthattime)charitiesandgambling,aswellaspoliticsandreligion
allofwhichcouldbelegallyadvertisedinothermedia–hadbeenbannedfrom
commercial television from its start. But it was not unreasonable to view
cigarettesasaspecialcase.NothingsimilarhadeveroccurredinBritainbefore.
Cigaretteswereahighlypopular,massconsumerproductusedbythemajorityof
thepopulation,providingincomeandemploymenttohundredsofthousandsof
people, perhaps millions indirectly, and heavily taxed, thus providingthestate
with considerable cash to help underwrite many social needs. There was no
evidence that banning television advertising would do any good at all. In
imposing the ban, the government was feigning social responsibility while in
reality engaging in a cosmetic gesture to appease vociferous pressure groups.
And as it turned out, the ban achieved little or nothing. In the years that
followed, health warnings appeared on packs and advertisements, government
anti-smokingcampaignswererunfrequently,andaconstantstreamofmedical
reports publicized the dangers of smoking. In the end, the only measures that
trulymadepeoplesmokelessweremassivetaxincreases,whichmadesmoking
unaffordable,andbansonsmokinginpublicplaces.Despiteallofwhich,about
10 million people in Britain still smoke, almost 25% of the adult population,
nearlyhalfacenturyafterthebanontelevisionadvertising.
Underlying the debates about smoking are fundamental questions about the
influence of commercial advertising on social behaviour. To what extent can
bans on advertising realize social engineering goals? Pressure groups
everywhere in the world believe that alcohol advertising makes people drink
more, car advertising makes people speed, toy advertising makes kids pester
their parents, fast food and confectionery advertising makes kids (and adults)
obese, slimming advertising makes girls anorexic, and medicine advertising
makespeople hypochondriac.Itseems perverse– nottosay self-serving– for
the advertising industry to deny all this. If advertising does not increase these
habits,andthesemarkets,whydoadvertisersadvertise?
16.Doesalcoholadvertisingmakepeopledrinkmore?
At the close of the 20th century, as these sectoral attacks were growing in
numberandfrequency,theUKAdvertisingAssociationEconomicsCommittee
respondedbyresearchingandpublishingareporttitledDoesAdvertisingAffect
MarketSize?Theobjectivewastodeterminewhether,forexample,advertising
for alcohol brands truly does make people drink more (or make more people
drink), toy advertising truly does make parents spend more – or toilet soap
advertising makes people wash more. As with many such advertising studies,
therewasnosimple,definitiveanswer.Toquotethereport:
There is always the possibility that advertising affects the size of a
particularmarket,butitsscaleandsignificancearehighlyvariable.
Brand advertising, the study showed, rarely increases the size of a market (or
product sector) if the market is large, long-established, static, and satisfies a
basicneed.Nordo advertisersexpectotherwise.Toiletsoapadvertisersdonot
expect their advertising to make people wash more, any more than petfood
advertisers expect people to buy more pets or feed them more. Nor do
newspapers,whentheyadvertisethemselves,hopepeoplewillreadmorepapers.
Inallthosecases,andcountlessothers,theaimoftheadvertiseristoincrease
market share, at the expense of competitors. And that is precisely what the
advertising–ifitworksatall–achieves.
Ontheotherhand,inmarkets(orproductcategories)thataresmall,ornew,or
arealreadygrowing,brandadvertisingdoesappeartofuelgrowth,andgetsmore
peopletousetheproduct,orgetspeoplewhoalreadyusetheproducttouseit
more. New electrical and electronic gadgets and equipment, for example, fall
intothislattercategory,asdonewsnacksandhobbyproducts.Onceagain,what
happens is not accidental. In such markets, the advertiser wants to stimulate
growth,becauseasthemarketbecomeslarger,thesalesofallthebrandswithin
itincreasecommensurately.
Butmostoftheproductsandpracticesthatthepressuregroupswanttobanfrom
advertising – alcohol, ‘junk foods’, advertising to children, and so on – fall
straightintotheformercategory:large,static,well-establishedmarkets.Thatis
why the bans are ineffective. It is worth pointing out that when advertisers
deliberatelyaimtoincreasethesalesoflarge,static,well-establishedproducts
astheyhavetriedtodoformilk,eggs,andmeatinthepast,forexample–those
campaigns have been equally ineffective. Once society has made its mind up
about a particularproduct,overmanyyears and often centuries, advertising is
not nearly a sufficiently powerful force to make people change their minds.
Advertisingcanmostdefinitelysellbrands,butitsroleinsocialengineeringis
minimal, if it exists at all. (It is true that advertising has helped discourage
drunken driving. But, as with smoking, the advertising was backed by strong
legislation, police activity, breathalysers, and relentless press publicity.
Advertisingalonewouldneverhavedonethetrick.)
Chapter9
Theroleofadvertisinginsociety
‘Do you think advertising is a moral activity’, I recently asked the 30 or so
graduates I was addressing at a seminar. The graduates had been working in
advertisingagenciesfortwoorthreeyears.Therewasastonysilence.
‘Whatdoyoumeanbyamoralactivity?’,oneofthemasked,eventually.
‘Well … do you think advertising really does good for the general public, for
ordinarypeople,formenandwomeninthestreet?’
Thegraduateslookedbewildered.
‘There’s the “Don’t Drink and Drive” campaign’, someone eventually said
thoughtfully.‘Thatdoesgood.That’smoral.’
‘AndtheGiveBloodads’,pipedupsomeoneelse.‘They’regoodtoo.Andsome
charityadvertsIsuppose.’
‘Anythingelse?’,Iaskedhopefully.Butthatwasit.Nobodycouldthinkofany
other advertising which they thought moral, or which did any good for the
general public, the men and women in the street. I felt profoundly depressed.
Herewasagroupoflivelyyoungpeople,abouttospendtheirlivesworkingin
anindustrywhich,asfarastheywereconcerned,providesalmostnoworthwhile
benefits to society. With the exception of a few government and charity
campaigns – a minuscule proportion of total advertising – they could think of
nothingmorallygoodtosayabouttheirchosencareer.
As we have seen, they are not alone. They were all well educated, with good
degreesfromgooduniversities.Mosteducated,intellectualpeopleare innately
hostiletoaspectsofadvertising.Some,likeLordReith,areinnatelyhostiletoall
aspectsofadvertising.Itwouldbeastonishingifanyoneashostiletoadvertising
asReithwouldchoosetoworkintheindustry.Butwithoutbeingashostileas
Reith,manyofthosewhoworkinadvertisinghavepersonalqualmsabouttheir
job.Andwhetherornottheypersonallyhavequalms,theysoonbecomeusedto
beingverballyattackedbyadvertising’scriticsatsocialevents–andquiteadept
at answering such critics, and fending off their attacks, whatever their own
qualms.
However,fewofthemaremuchgoodatturningthecriticismsontheirhead,and
showing advertising to be a highly worthwhile, indeed moral, business – a
businessthatordinarymenandwomeninthestreetbenefitfromdirectly,every
day, in countless ways. People in advertising get pretty good at defensively
arguing that it does little, if any, harm, but – as the graduates at the seminar
demonstrated–theyseemunabletoshowitdoesanypositivegood.Yetitdoes.
Aswesawinthefirstchapter,advertisinginvolvesatripartiteofthreedifferent
groups–plus,infact,acrucialfourthgroup,unmentionedinthatchapter.The
tripartitegroupsmentionedaretheadvertisers,whospendthemoney;themedia,
whogetabout90%ofthemoneytheadvertisersspend;andtheagencies,who
createthecampaigns,buythemedia–andmakeitallhappen,fortheremaining
10%.
Which, then, is the crucial fourth group involved in advertising? The fourth
groupisthegeneralpublic,theconsumers,theordinarymenandwomeninthe
streetwho are(orarenot)influenced bythe advertisements.This isthe group
the critics are usually concerned about when they question the morality and
benefits of advertising. But this group is not wholly separate to, or different
from,theothergroups.Allfourgroupsoverlapandinteract:theyaregenerally
the same people, with different hats on – the same members of society, in
differentaspectsoftheirlives.However,toanalyseitsmorality,itisessentialto
explorehowadvertisingaffectspeople–affectsallofus–whenwearewearing
thesedifferenthats.
Advertisinghelpsemployees
Let’sbegin,then,withtheadvertisers.Inthecontextofmorality,theadvertisers
concerned are usually large companies. Nobody would claim that large
companiesalwaysbehaveperfectly.Butequally,nobodywoulddenythatthere
aretwothingslargecompanieshavetodosupremelywell,iftheyaretostayin
businessoverthelongterm.Theyhavetoemployandmanagesizablenumbers
ofemployees,andtheyhavetomakeprofits.Sothemajorityofthosemenand
womeninthestreetearntheirpay,orareinthefamiliesofthosewhoearntheir
pay,frommajoradvertisers.Inshort,theyearntheirmoney–fortheirfood,their
clothes,andeverythingelse–fromthelargecompanies,themajoradvertisers.
Itmightbe,ofcourse,thatthemoneythelargecompaniesspendonadvertising
is unnecessary, is wasted. In the past, there undeniably were economists who
believedadvertisingisineffective,andisthereforeawasteofresources.Today
such economists are few and far between. Over recent decades, countless
econometricstudies,fromallaroundtheworld,haveestablishedbeyondfurther
argument that advertising works. Precisely how well advertising works varies
from campaign to campaign, as we saw in the section on the IPA Advertising
EffectivenessAwards.Butoverall,astheIPAAwardsprove,advertisingcreates
demand. What does this mean for ordinary men and women on the street? It
meansemployment. Demandcreatessales,salescreatejobs;no sales,no jobs.
Companiescannotemploypeopleunlessconsumersbuythegoodsandservices
thosepeopleproduce.Andmoresalesmeanmorejobs.Puttingitlikethatisa
tadsimplistic,butitisfundamentallytrue–asanybusinessleaderoreconomist
willconfirm.
Moreover, when they have jobs, they pay taxes: taxes that fund government
expenditure on education, health, law and order, and all the other social
amenities we value. Taxes that pay the salaries of all those who work for the
government, providing those social amenities. So no consumer demand means
nosales,nojobs,notaxes,nosocialamenities.Naturally,advertisingdoesnot
doallofthison itsown.Butitmakes apowerfulandpositivecontribution:it
helpskeepthewheelsofindustryspinning.
And it helps companies make profits, the profits on which their long-term
existence depends. Again, as we have seen, the precise profit advertising
generates will vary from company to company, from campaign to campaign.
And profits not only keep the companies in business, they are a major
contributor to taxes – to more social amenities; and company profits fund
investment,tocreatemorejobsinthefuture–makingthewheelsspinfasterand
longer.
Sothisisthefirstofadvertising’skeycontributionstosociety:whenpeopleare
wearing their workwear hats, advertising creates jobs and all the benefits that
flowfromthem.Maybethisexplainswhythereisnosuccessfuleconomyinthe
worldwherethereisnoadvertising.
Andwhiletalkingaboutjobs,itisworthnotingthatapproximatelyone-thirdof
all employees find their jobs as a result of seeing and responding to
advertisements.Thismaynotbe partof themaindebateaboutthe moralityof
advertising,butitisasubstantialbenefittosociety.
Advertisinghelpsmediausers
Let’s turn to the media, which receive the 90% or so of all advertisers’
expenditure. How does this help ordinary people? Well, first, in the UK it
provides them with roughly two-thirds of all their broadcast media, absolutely
free.Inothercountries,liketheUSA,thisfigurereaches100%ofallbroadcast
media.AndadvertisingheavilysubsidizestheInternet,sothatmostwebsitesare
available either without cost or at a fraction of theirset-up and running costs.
The digital media revolution, upon which we are all so dependent, has been
providedtousforverynearlynothing–paidforbyadvertising.Thisisatotally
newpublicbenefit.
Butadvertising’sbenefitstothemedia,andthustosociety,gowiderandmuch
deeper.Morethan3,000consumermagazinesarepublishedinBritain.Eachone
is of personal interest to groups of readers, large or small. And each one is
heavilysubsidizedbyadvertising,sothatitsreaders–allthosemenandallthose
womeninallthosestreets–buyitatasmallpercentageofitsproductioncost.
And research shows that many readers of special interest magazines find the
advertisements at least as helpful and interesting as the editorial itself. Some
magazines contain only advertisements, with no editorial whatsoever: living
proofthattheirreadersvaluetheadvertisingtheycontain.Aswithmagazines,so
itis withalmostallotheradvertising media,fromcinemastopublictransport:
therevenuetheyreceivefromadvertisingreduces,evenifonlymarginally,the
pricestheychargethepublicforwhattheyprovide.
Butwehavenotyetgottothemostsignificantmediabenefitofall.Advertising
provides societies with an open, influential, and politically independent press.
Without advertising, the price of newspapers would rocket. Then their
circulationswouldplummet.Thenthepriceswouldrocketagain.Theoutcome?
Ourdiverseandcompetitivelocalandnationalpresswouldshrivel.Newspapers
arealreadyunderheavycompetitionfromtheInternet.Withoutanyadvertising
subsidy,manynewspaperswouldclosedown.Aridiculousthought?Notatall.
Politicians,inall countries,oftenseek to controlthemedia – successfullyand
brutally in non-democratic autocracies. In democracies, their efforts to control
themediahavetobemoresubtle.Aswasnotedonpage19,inordertocontrol
the press, in 1712 British politicians imposed a duty of one shilling on every
advertisementpublishedinnewspapers.Thepoliticians’aimwasdeliberatelyto
cut the newspapers’ advertising revenue, in order to make the papers more
expensive and thus stop people – particularly poorer people – from reading
them.Thiswasoneofseveraltaxesdesignedtorestrainthepowerofthepress.
Theadvertisingtax wassteadilyincreased,andwasnotabandoneduntil1853.
Asintended,ithelpedholdbackthedevelopmentofafreepressinBritainfor
almost 150 years. A politically free and critical press, unfettered by any
dependence on government finance, is one of the strongest protectors of
individualliberty.Advertisingplaysavitalroleinthis.
As with advertisers, nobody would claim the media are perfect. But without
advertising,themediawouldbefarweaker,farsmaller,andalmostcertainlyfar
moreexpensive.Andthepublic,nowwearingtheirmedia-receivinghats,would
befarworseoff.
Advertisinghelpsnationalcreativity
Youwillrightlythinkthisistheleastcontentiousareaofthedebate.Advertising
inevitablyhelps advertisingagencies– thesmallest sectorofthetripartite– as
they would not exist without advertising. And advertising agencies are,
inherently,fountsofcreativity.
Butthiscontributesindirectbenefitstosocietytoo.Theagenciesprovidemany
seriousartistsandwriterswitharegularsalary,sotheycanpaintandwritetheir
ownworks. Numerouswriters andartists workedin agenciesbefore becoming
establishedintheirownright.Manygreatpainterswerealsogreatposterartists.
Exactly the same is true of film directors, many of whom learned their
cinematographic craft making commercials. The agencies provide creative
employment not only for the writers and art directors who work directly for
them, but also provide employment to a vast hinterland of freelance creative
people:photographers,designers,filmdirectors,lightingandcameramen,actors,
setdesigners,letteringartists–aswellasthosewhoproducethehardwareforall
their output: printers, film manufacturers and processors, display and set
builders. Together, this sprawling creative network feeds ideas and originality
into the nation’s creativity, catalysing a cauldron of innovation in both the
commercialandthepurearts,fromwhichsocietybenefitsimmensely.
Moreover,thepublic–wearingitsimaginary‘aesthetichat’–benefitsdirectly
from the agencies’ work, as many advertisements succeed in being amusing,
clever, witty, charming, striking, and sometimes even beautiful. This was well
expressedaslongagoas1896,inaHamburgPosterExhibitionCatalogue:
Artshouldbeaccessibletoeveryone…notonlytothosewhocanaffordto
buyworksofartorhavethetimetoseekthemoutingalleries…Artmust
goonthestreets,wherechancewillbringittothenoticeofmanythousands
ontheirwaytoworkwhohaveneitherthetimenormoneytospare.High
ethical standards are fulfilled by posters created for everyday practical
purposes–providedtheyaregoodposters.
Aperfectdescriptionofyetanotherwayinwhichadvertisingbenefitsthemen
and women in the street. But now we must come to the kernel of the moral
question.
Advertisinghelpsthepublic
This is the trickiest part. Showing how employees and their families (that’s
nearly everyone), and media-users (that’s nearly everyone), and national
creativity (that involves nearly everyone) all benefit from advertising is
relatively straightforward. But does advertising really help when people are
wearing their fourth hat, as consumers? Or does it, as the critics have long
contended, merely manipulate them? Part of the problem here is that when it
comestoconsumers,totalkabout‘advertising’ismisleading.Consumersdonot
respond to advertising. They respond to advertisements. And, as has been
emphasizedthroughoutthisbook,advertisementsareextremelydiverse.Sothe
benefitsconsumersderivefromthemareequallydiverse.
Letusbeginwithinformation:welive,itisoftensaid,inaninformationsociety.
And economists have long justified advertising as a source of information.
Certainly the public obtains a great deal of important and helpful information
fromadvertisements.
Take prices. Nowadays, as we have seen, many of the largest advertisers are
retailers,andthegreatmajorityofretailadvertisementspromotelowprices.Not
onlyisthisinformationdirectlyhelpfulforshoppers,itindirectlydrivesprices
down. When one supermarketpromotesitslowprices for certain goods, other
supermarketsswiftlyretaliatebycuttingtheirownprices–otherwisetheyknow
theywilllosecustomers.Overall,pricesfall.Forthepublic,thisisaprettygood
deal.
At the same time, the quality of many of the goods and services we buy is
constantly being improved, however slightly. Consumers benefit by getting
information about these improvements from advertisements. And, once again,
thisforcescompetitorstoretaliatebymakingqualityimprovementsoftheirown.
It is a continuous process. As with price-based advertising, this stimulates
competition,andthepublicreapstherewards.
Thentherearecompletelynewproducts.Thepublicgetsitsinformationabout
new products in a multitude of ways, but none is faster or simpler than
advertising.Andthereareendlessoccasionswhenconsumersaresearchingfor
something–anewcar,orakid’sbirthdaypresent,oranointmenttotreattheir
spots–andadvertisementstellthemwhatisonoffer.Forconsumers,thisisall
helpfulinformation.
But it still begs one big question. How does the public benefit from
advertisements that contain little or no information – particularly if these
advertisements areforthingsthe public knows about already? Information-lite
advertisements include a great swathe of brand advertising, from Heineken to
Heinz,fromKellogg’stoKitKat,fromPersiltoPerrier.Sohowdoconsumers
benefitfromadvertisementsthatprovidethemwithalmostnoinformationatall?
In a couple of ways, at least. First, memories fail – or anyway need jogging.
Everyoneneedstoberemindedaboutbrandstheylike,butwhichslipfromtheir
minds. Awareness and tracking studies constantly show how quickly people
forget about a brand once its advertising stops. Second, marketplaces are not
static. Consumers’ needs change all the time as they progress through life’s
stages,andthoughtheymaylearnoftheexistenceofabrandwhenyoung,they
maynotneedtouseituntiltheyareolder.Aninformation-litememory-jogging
advertisementisoftensufficienttodothetrick.
Finally,gettingbacktothegraduatesattheseminar,therearespecificareasof
advertising which incontestably help society. Most government campaigns,
charitycampaigns,andpressuregroupcampaignsbringworthwhilecausestothe
public’s attention. All these areas of advertising have grown in recent years.
They are not the basic moral justification for advertising – but they
unquestionablymaketheircontribution.
Aburgeoningworldofchoice
Advertisingtodaymustbeseeninthecontextofaworldofimmensevarietyand
choice.Ineconomieswherethereisnochoice,thereisnoneedforadvertising.
Butinmodern,affluentsocieties,theaveragelargesupermarketoffersshoppers
about40,000differentlines;therearesome2,000newmodelsofcaravailable;
plusanuncountablenumberofconsumerdurables,fashions,electronicwidgets,
entertainments,holidays,financialinvestments–thelistgoesonandon.People
need to be able to sort out all these choices reasonably swiftly and simply.
Advertisements help them select the things they want, and reject those they
don’t,withoutspendingforeveronthetask–andwithoutgoingcrazy.
None of this will refute the arguments of those who are against particular
advertisingsectors.Peoplewhowanttobanadvertisingoftobacco,oralcohol,
or advertising to children will not be persuaded their views are wrong simply
becauseadvertisingisgenerallybeneficial.Butequally,theirspecificconcerns,
whether or not you agree with them, do not affect the broader case for
advertising.
Sowhatistheroleofadvertisinginsociety?Itcreatesemployment,nowandin
thefuture;itprovidesthepublicwithnumerousfreeandinexpensivemedia;it
supportsmedia independence;itsuppliesshopperswithagreatdealof helpful
information;itpushespricesdownandqualityup;itkeepsthepublicawareof
all the different brands available; it helps them select from the vast range of
choicesmoderneconomiesoffer–anditdoesmostofthiscreatively,andcost-
effectively.Perhapsallthisshouldsufficetomakethegraduatesfeelthatifthey
do spend their lives working in advertising, well, their lives will indeed have
beenworthwhile.
Furtherreading
Importantclassics
Claude Hopkins, Scientific Advertising (MacGibbon and Kee, 1968; first
published1923).
MartinMayer,MadisonAvenueUSA(Penguin,1960).
DavidOgilvy,ConfessionsofanAdvertisingMan(Atheneum,1963).
VancePackard,TheHiddenPersuaders(Penguin,1960).
RosserReeves,RealityinAdvertising(AlfredKnopf,1961).
Generalhistory
JohnBarnicoat,Posters:AConciseHistory(ThamesandHudson,1997).
LeonarddeVriesandJamesLaver,VictorianAdvertisements(JohnMurray,
1968).
LeonarddeVriesandIlonkaVanAmstel,AmericanAdvertisements1865–
1900(JohnMurray,1973).
Winston Fletcher, Powers of Persuasion: The Inside Story of British
Advertising1951–2000(OxfordUniversityPress,2008).
StephenFox,TheMirror Makers:AHistoryofAmericanAdvertisingand
itsCreators(UniversityofIllinoisPress,1997).
Brian Henry (ed.), British Television Advertising: The First 30 Years
(CenturyBenham,1986).
Terry R. Nevett, Advertising in Britain: A History (William Heinemann,
1982).
Mark Tungate, Adland: A Global History of Advertising (Kogan Page,
2007).
E.S.Turner,TheShockingHistoryofAdvertising(MichaelJoseph,1951).
Marketingandbranding
Tim Ambler, Marketing and the Bottom Line (Financial Times/Prentice
Hall,2003).
A.S.C.Ehrenberg,RepeatBuying(CharlesGriffin,1988).
Stephen King, A Master Class in Brand Planning, ed. Judie Lannon and
MerryBaskin(JohnWiley,2007).
NaomiKlein,NoLogo(HarperCollins,2000).
TheodoreLevitt,TheMarketingImagination(Macmillan,1983).
MarketingPocketBooks(AdvertisingAssociationwithWorldAdvertising
ResearchCenter,annually).
WallyOlins,CorporateIdentity(ThamesandHudson,1989).
Agenciesandcreativity
Jeremy Bullmore, Behind the Scenes in Advertising (World Advertising
ResearchCenter,2003).
DesignandArtDirectors’AwardsAnnuals,1964–.
IvanFallon,TheBrothers(Hutchinson,1988).
WinstonFletcher,TantrumsandTalent(AdmapPublications,1999).
JeremyMyersonandGrahamVickers,Rewind:FortyYearsofDesignand
Advertising(Phaidon,2002).
John Ritchie and John Salmon, Inside Collett, Dickenson and Pearce
(Batsford,2000).
MediaandInternet
Harry Henry, The Dynamics of the British Press 1961–1984 (Advertising
Association,1986).
JohnW.Hobson,TheSelectionofAdvertisingMedia(IPA,1955).
InteractiveAdvertisingBureau,http://www.iab.net
Nigel T. Packer, Internet Marketing: Strategies for Online Success (New
HollandPublishers,2009).
GodfreyParkin,DigitalMarketing(ElliotRightWayBooks,2008).
Advertisingeffectiveness
SimonBroadbent,AccountableAdvertising(NTCPublications,1997).
CharlesChannon(ed.),20AdvertisingCaseHistories(Cassell,1989).
Russell H. Colley, Defining Advertising Goals for Measured Advertising
Results (Association of American National Advertisers, first published
1961).
WinstonFletcher,AGlitteringHaze(NTCPublications,1992).
GiepFranzen,AdvertisingEffectiveness:FindingsfromEmpiricalResearch
(NTCPublications,1994).
Laurence Green (ed.), Advertising Works and How (IPA and World
AdvertisingResearchCenter,2005).
WorldAdvertisingResearchCenter,http://www.warc.com,1999–.
Index
accountmanagementandaccountplanning14–16,78–80,105–7
AdvertisingStandardsAuthority(ASA)102,113–17
agencies14–16,20,25–30seealsocreativeagencies;mediaagencies
alcohol117,119–20,122
artdirectors69,71–2
artists,benefiting128
Athens17,19
awareness6–7,58,92,108–9,130
bans117–21
BARB58
Bates,Ted102–5
Bernbach,Bill70
billboardsandhoardings61–2
BoaseMassimiPollit14
brainwashing99
brands5–13,22,39–44,103–4,108–9,120
Broadbent,Simon36–9
budget7,66,87–92
buying27,86–7
campaigns,creationofnew5–7,65–84
CarbolicSmokeBomb114–15
charities2,3,122,130
Cheskin,Louis98
choice,helpingwith131
CIA(CentralIntelligenceAgency)99
cigarettes117–18
cinema63,73,126,128
circulation9,49–55,88–9
classifieds3,23–4,47
click-through46–7,94–6
codesofpractice116–17
CollettDickensenPearce(CDP)71–2,77
colouradverts50,53–4,59
commercialtelevision55–6,61,112–13
commission25–8,30
complaints102,115–17
consumermagazines52–4,126
consumers,benefiting129–31
copy/artteamapproach66,69,71–4
copywriting21,68–9,71–2
cost-effectiveness36,38,61,90–1
costper1000calculations50–1,54
costsandpricing29,32,49–58,63–4,86–92,95–6,127,129
creativeagencies28–9,65–84,92–3,105–7,127–8
creativity,benefitingnational127–8
criticismofandhostilitytoadvertising19–20,111–12,115,122–3,131
DAGMAR37
decision-making11–16,87
definitionofadvertising1–3,5
definitionofmedia45–6
demographics22,50,64,95
Dichter,Ernest98,104
digitaltechnologyseeInternet
directmail(junkmail)60–1,89–90,96
directresponseadvertising43–4
directories54–5
displayadvertising47,55,94,95
DoyleDaneBernbach(DDB)69,70,71–2,77
editorialfunction,separationof24
effectivenessofadvertising5,34–9,46,61,90–1,103–4,109,124–5
EFFIES37
employees,benefiting124–6
end-benefits1–13
eye-tracking110
filmdirectors128
focusgroups105–7,109
FordEdsel35
freemediaandpress126–7
freedomofadvertisers113–15
full-serviceagencies25–8
generalinterestmagazines53
globalclientservicedirectors81–2
‘GoldenKey’5,34,38–9,97–8,101–2,105
Google29,31,94
Guinness107
health116–21
Heineken72
historyofadvertising11,17–18,39–40,97–102,111–15,127
hobbymagazines53,126
Hobson,John14,77
holdingcompanies28
Hopkins,Claude97–8
imageofbrands11–13,43,104
informativeadvertising1–2,3–5,122,129–30
interactivemedia63–4
interestdials110
internationaladvertising80–2
Internet29–31,45,63–4,89
agencies29–30,93–6
chargingandcosts29,51,63–4,95–6
classifieds23,47
click-through46–7,94–6
demographics64,95
displayadvertising47,94,95
freemedia126
payperclick95–6
‘search’advertising46–7,94–5
SixPrinciples83–4
television59–60
websites94,95–6,126
interviews10,98,105–6,108–9
IPA(InstituteofPractitionersofAdvertising)Awards36–9,125
JWalterThomson(JWT)14
jingles17–18
Johnson,Samuel19,20
journals54–5seealsomagazines
junk(direct)mail60–1,89–90,96
keyperformanceindicators(KPIs)109
Key,WilsonBryan.SubliminalSeduction100–1
Koch,AdolphS33–4
licensing56
logos42
long-termbrands,building36,39–40,43
loss-leaders26–7
loyaltytobrands43
magazines22,51–5,89,126
management77–82
marketseemarketresearch;targetmarket
marketresearch8–10,14–15,49–50,58,78–9,97–110,130
marketingcommunications,typesof1,22,27
marketingserviceconglomerates28
massmedia3,22,24
media3,22–4,45–64,126–7
mediaagencies28–30,65–6,85–96
messages6,46,67–8,108–9
minormedia60–3
misleadingadverts113–16
morality113–16,122–4
motivation(depth)research98–9,106
MRI(magneticresonanceimaging)scans110
multinationals81
names,uniquebrand42
nationalcreativity,benefiting127–8
nationalnewspapers48–51,88–9,127
NewsoftheWorld9
newspapers9,19,48–51,88–9,127
objectivesandpurposeofadvertising2–7,31–9,66,92
OFCOM,regulationby56
outdooradvertising61–2,89,92,128
own-brands,valueof42
ownershipofcompanies28
packaging42
Packard,Vance.TheHiddenPersuaders99–100
paid-foradvertising,meaningof2
payperclick95–6
paymentforadverts31–44seealsocostsandpricing
peak-timeandoff-peak59
Pears’Soap40–2
people,advertisingasbeingaimedat3
personalmedia60–1,63–4,126
personalitiesofadvertisingemployees75–9,85–7,128
persuasiveadvertising1–2,3–5
PGTipsTea39,40
planning14–16,78–80,86–7,105–7
politicalindependence126–7
positioningofadverts42,50
posters61–2,89,128
post-launchtracking105–6,107–9
press9,19,22–4,48–55,88–9,116,126–7
pre-testing105–7
pricingandcosts29,32,49–58,63–4,86–92,95–6,127,129
primemedia46
printmedia9,19,22–4,48–55,88–9,116,126–7
printingpress,inventionof19
professionaljournals54–5
psychologyandemotions12–13,15,76–7,97–8,104,109–10
public,benefitingthe129–31
pupildilation109–10
qualityofgoodsandservices,improving129–30
radio62,116
readershipandaudiences22,50,52,53–5,58–64,88–9,95,126
regionalnewspapers51–2
regulation55–6,112–13,115–17
research8–10,14–15,49–50,58,78–9,97–110,130
restraintoftrade28
results,measuring36–7,103–4
RomanEmpire19
satellitebroadcasting56–7
‘search’advertising46–7,94–5
sectors,listoftop32–3
Schweppes39,41
science,advertisingasa97–8
selectionofmedia88–91
servicesector13,129–30
sex100–2
short-termsales36,39
sizeofadverts50,53–4,89,91–3
sizeofmarket,increasingthe119–21
socialbehaviour117–21
society,rolein122–31
space21,27,49–51,53–4
specialinterestandhobbymagazines22,53,126
specialists20–1,27–8,30,50,65,82–4,94
Strandcigarettes35
strategy6–7,14–16,65–7,74–6,79,86–7,105–6
structureofindustry17–30,123–4
subliminaladvertising100–1
subsidiesfromadvertising127
supportorremindermedia61–3
surveys10,107–8
sweatmeasurement110
tachistoscopes110
TargetGroupIndex(TGI)10,91
targetmarket7–13,22,42–3,54–5,59,61,73,78,86–93,105–6
tax19,125,127
teamwork66–9,71–4
television53–62,69–72,89–90,112–17
terrestrialtelevision56
timingandfrequencyofadverts55–6,59,93
tobacco117–18
towncriers17,19
trackingstudies105–6,107–9,130
tradeandprofessionaljournalsanddirectories54–5
trade-offs91–2
transport61,126
tripartitestructure21–5,123–4
truth113–16
uniquesellingproposition(USP)102–5,108
users,mediaasbenefiting126–7
valueofbrands42–3
varietyandtypesofmedia45–8
Vicary,James100–1
video-on-demand60
viralmarketing31
visualizers68–9
Volkswagen69,71
websites94,95–6,126
women’smagazines53
word-of-mouth31
WPP10,14,28,30
writers,benefiting128
youthmarket63
zappingthroughchannels60
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VERYSHORT
INTRODUCTIONS
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CLASSICS
AVeryShortIntroduction
MaryBeardandJohnHenderson
This Very Short Introduction to Classics links a haunting temple on a lonely
mountainsidetothegloryofancientGreeceandthegrandeurofRome,andto
Classicswithinmodernculture–fromJeffersonandByrontoAsterixandBen-
Hur.
‘Theauthorsshow us thatClassicsis a “modern”and sexy subject. They
succeedbrilliantlyinthisregard…nobodycouldfailtobeinformedand
entertained–andtheaccentofthebookisprovocativeandstimulating.’
JohnGodwin,TimesLiterarySupplement
‘Statues and slavery, temples and tragedies, museum, marbles, and
mythology – this provocative guide to the Classics demystifies its varied
subject-matterwhileseducingthereaderwiththeobviousenthusiasmand
pleasurewhichmarkitswriting.’
EdithHall
www.oup.co.uk/vsi/classics
MUSIC
AVeryShortIntroduction
NicholasCook
ThisstimulatingVeryShortIntroductiontomusicinvitesustoreallythinkabout
musicandthevaluesandqualitiesweascribetoit.
‘Atourdeforce.NicholasCookiswithoutdoubtoneofthemostprobing
andcreativethinkersaboutmusicwehavetoday.’
JimSamson,UniversityofBristol
‘Nicholas Cook offers a perspective that is clearly influenced by recent
writing in a host of disciplines related to music. It may well prove a
landmarkintheappreciationofthetopic…Inshort,Icanhardlyimagineit
beingdonebetter.’
RogerParker,UniversityofCambridge
www.oup.co.uk/vsi/music
BUDDHISM
AVeryShortIntroduction
DamienKeown
From its origin in India over two thousand years ago Buddhism has spread
throughoutAsiaandisnowexertinganincreasinginfluenceonwesternculture.
Inclearandstraightforwardlanguage,andwiththehelpofmaps,diagramsand
illustrations,thisbookexplainshowBuddhismbeganandhowitevolvedintoits
present-day form. The central teachings and practices are set out clearly, and
keystopicssuchaskarmaandrebirth,meditation,ethics,andBuddhisminthe
Westreceivedetailedcoverageinseparatechapters.Thedistinguishingfeatures
ofthemainschools–suchasTibetanandZenBuddhism–areclearlyexplained.
Thebookwillbeofinteresttoanyoneseekingasoundbasicunderstandingof
Buddhism.
‘DamienKeown’sbookisareadableandwonderfullylucidintroductionto
one of mankind’s most beautiful, profound, and compelling systems of
wisdom. His impressive powers of explanation help us to come to terms
withavitalcontemporaryreality.’
BryanAppleyard
www.oup.co.uk/vsi/buddhism
LITERARYTHEORY
AVeryShortIntroduction
JonathanCuller
LiteraryTheoryisacontroversialsubject.Saidtohavetransformedthestudyof
cultureandsocietyinthepasttwodecades,itisaccusedofunderminingrespect
for tradition and truth, encouraging suspicion about the political and
psychological implications of cultural products instead of admiration for great
literature.InthisVeryShortIntroduction,JonathanCullerexplains‘theory’,not
by describing warring ‘schools’ but by sketching key ‘moves’ that theory has
encouraged and speaking directly about the implications of cultural theory for
thinkingaboutliterature,aboutthepoweroflanguage,andabouthumanidentity.
Thislucidintroductionwillbeusefulforanyonewhohaswonderedwhatallthe
fussisaboutorwhowantstothinkaboutliteraturetoday.
‘Itisimpossibletoimagineaclearertreatmentofthesubject,oronethatis,
withinthegiven limitsof length, morecomprehensive. Culler hasalways
beenremarkableforhisexpositoryskills,andherehehasfoundexactlythe
rightmethodandtoneforhispurposes.’
FrankKermode
www.oup.co.uk/vsi/literarytheory
HINDUISM
AVeryShortIntroduction
KimKnott
Hinduism is practised by eighty per cent of India’s population, and by thirty
million people outside India. In this Very Short Introduction, Kim Knott
combines a succinct and authoritative overview of a major religion with an
analysisof thechallengesfacing itin thetwentiethcentury.She discusseskey
preoccupationsofHinduismsuchasthecentralityoftheVedaasreligioustexts,
theroleofbrahmins,gurus,andstorytellersinthetransmissionofdivinetruths,
andtheimportanceofepicssuchastheRamayana.Issuessuchastheplaceof
women and dalits (untouchables) in contemporary society are also addressed,
makingthisbookstimulatingreadingforHindusandnon-Hindusalike.
‘Thisbookisinstantlyaccessibleinitsapproachwithoutbeinginanyway
condescendingoranoversimplification.’
JuliaLeslie,SchoolofOrientalandAfricanStudies,London
‘very readable and certainly most helpful, with a new and original
perspectiveconveyedinasuccinctintroductorystyle’
UrsulaKing,UniversityofBristol
www.oup.co.uk/vsi/hinduism